German Finance Minister prefers zero for zero solution tariffs

The trust between Europe and the US is not yet violated, despite the aggressive tariff policy of President Donald Trump George Cook, who is acting Minister for German Finance, CNBC said on Thursday.

“In order for the trust to be broken, much more is to happen, because the transatlantic partnership was built for so many decades that we will not be fascinated by the tariff statement,” he said Carolin Roth CNBC in the sidelines of the IMF World Bank.

Cook added that during a pre -visit to Washington, shortly after 25% tariffs on all cars brought to the USA has been announcedIt seemed of interest in reaching the agreement.

He said that Europe and the US have different interests and both sides must understand each other. “But this is not the first time the US and Europe negotiates the tariffs, so I don’t think we are nowhere near the crisis.”

Cooks have reached a positive tone when referring to the negotiations, saying that “everything goes in negotiation mode” with an “optimistic” block that it could solve the differences.

Cooks stated that the zero zero tariff agreement would be its preferred result. This corresponds to the fact that my president of the European Commission Ursul von der Leyen performed For.

However Trump is already there rejected The European Union’s proposal on transactions, which could impose zero interest on industrial goods imported from the US, as well as imports from the EU.

Currently Germany is subject to 10% tariffs – temporarily reduced The rate announced by Trump after initially imposed 20% of duties.

The country’s fighting economy depends heavily on trade, as the US serves as its most important trading partner. It is expected that the tariff shock led by Trump is supposed to hit Germany hard.

Earlier on Thursday, the German government revised its forecast for the country’s economic growth below, saying it was now awaiting stagnation in 2025. This is compared to January assessment growth by 0.3%.

Acting Minister of Economy Robert Habek refers to the US President Donald Trump’s trade policy and their impact on Germany’s economy as the main reason for the renovation.

A IMF In the last last World Economic ProspectsWhich was published earlier this week, also reduced its expectations for the German economy, and now the body that predicts a 0.2%reduction.

Germany’s economy has been fighting for some time treaty As in 2023 and 2024 annually. However, the country avoided a technical recession characterized by two consecutive quarters. Recent data on gross domestic products are planned to be released next week.

However may also be some positive on the horizon after the major Fiscal packageWhat could lead to the main increase in investment was enshrined in the German Constitution earlier this year. It included changes in the long -borrowed brake rules that are set to provide higher defense costs, as well as 500 billion euros (569 billion) investment fund.

The German loan limits how much debt the government can take, and dictates the size of the federal government’s structural budget