German firms want tough action from EU in U.S. tariff talks, DIHK says

Audio By Carbonatix

Enlarge

BERLIN (Reuters) -The agreement between the United States and European Union on tariffs serves only as a burden to companies due to its lack of clarity, according to a poll of German businesses calling for tougher action from Brussels.

The German Chambers of Industry and Commerce (DIHK) said on Wednesday that its poll of firms in August showed they want a clear strategy from the EU even if this could impact their own business.

“The EU must clearly preserve its regulatory autonomy and economic sovereignty and must not jeopardise them for the sake of short-term trade deals,” said Volker Treier, a foreign trade specialist at the DIHK.

Washington and Brussels struck a framework trade deal at the end of July, setting a baseline tariff of 15% on EU goods imported by the U.S., followed by a more detailed joint statement last week.

But negotiations continue, with the U.S. tariff rates for cars and metals still unclear.

The DIHK called on EU negotiators to avoid additional red tape and to push for a mechanism preventing further tariff hikes in the future.

“In an emergency, the EU should not shy away from countermeasures and negotiate robustly. In the long term, the abolition of US tariffs in violation of the WTO remains the goal,” Treier added.

(Reporting by Rachel MoreEditing by Madeline Chambers)