France Urges EU to Consider Trade Measures After Trump Deal
France is pushing its European Union counterparts to reconsider the so-called “trade bazooka,” both in light of a recent agreement with President Trump and the ongoing trade situation.
A diplomatic cable, which was obtained by the Post, revealed that the White House had engaged in light-hearted banter with Trump in February about an “unfair” trade deal. This conversation seems to point to growing European concerns regarding the US approach.
On Friday, France stood alone as the EU discussed potential retaliatory measures against what they termed “anti-forced items.” This refers to provisions that would give EU officials the power to enforce export controls and implement strict tariffs.
Even with ongoing discussions about a contract, France has been clear about its stance, calling for the quick establishment of these anti-coercion tools. This appeal is underpinned by EU laws drawn from the US Trade Act of 1974.
The “trade bazooka” could also be used to restrict intellectual property rights, curtail foreign investments, and prohibit certain US services.
In a recent social media post in French, French European Minister Benjamin Haddad called for the implementation of this trade bazooka, lamenting that the US has “chosen economic enforcement and completely ignored WTO rules.” He added that swift action was necessary to avoid negative repercussions.
Haddad also noted that France would not hesitate to impose significant taxes on American tech giants or prevent US companies from securing favorable government contracts in Europe.
“American digital services continue to exploit European tax loopholes,” he remarked, describing the agreement as “imbalanced.” He emphasized that Europe cannot afford to be the last one left in a game governed by rules that no one seems to respect.
Reports indicate that France is particularly upset with the trade contracts that grant US agricultural exports no customs access to European markets. French Prime Minister François Bailloux expressed his dismay via social media, referring to the deal as a “submission” by EU officials.
A source within the White House responded, saying, “The US has a trade deficit with the entire EU, and specifically with France, largely due to unilateral trade barriers. This is why the US has had to navigate these unfair trade terms for decades.”
Implementing the EU’s trade bazooka would require the agreement of a majority of EU governments.
While the agreement is projected to enhance US financial capacity by around $90 billion, Trump faces a less than 30% threat level regarding EU imports. Europe has also agreed to significant purchases of American energy and military products.
The deal, which was announced recently, has provoked mixed reactions from European officials, many of whom believe that the EU has compromised too easily with Trump.
Anders Bisten, a Danish MP in the European Parliament, commented that Trump “played the EU like a fiddle,” indicating concerns about the high-stakes negotiations. Ursula von der Leyen, the president of the European Commission, called the agreement a “framework” and mentioned that more details would emerge soon.
Originally, the anti-coercion measures were designed to address concerns regarding Chinese market practices.
Trade between the EU and the US reached about $976 billion last year, but the numbers highlight a trade deficit for the US, a situation Trump has long criticized. The White House has also finalized tariff agreements with several other countries, including Japan and the UK.
