US President Donald Trump’s decision to impose tariffs on European producers, and his threat of additional tariffs on European cars, have forced Europe’s hand. But how should the European Union defend itself against an attack by the guarantor of its security?
In this Big Picture, Daniel Gros urges EU leaders not to let pride cloud their economic judgement, which dictates that they humor Trump with “voluntary export restraints.” By contrast, Barbara Unmüssing and Michael Kellner make the case for going on the offensive, by responding to US tariffs with climate-friendly countermeasures.
Guy Verhofstadt goes even further, calling on EU leaders to turn the trade crisis into an opportunity for long-delayed EU-level reforms that will decrease the Union’s dependency on the US. That will require, above all, a change in German policies, which, according to Yanis Varoufakis, are what invited Trump’s trade war in the first place.