German Businesses Suffering as US Sanctions And Tariffs Bite
German companies are increasingly suffering from U.S. President Donald Trump's policy of sanctions - including those against Iran - and the tariffs he is pursuing in an escalating trade war with China, business associations said on Thursday.
Washington said on Wednesday it would also impose fresh sanctions on Russia by the end of August after it determined that Moscow had used a nerve agent against a former Russian agent and his daughter in Britain, something the Kremlin denies.
"Of course the U.S. policies are impacting German foreign trade," Holger Bingmann, head of the BGA trade association, told Reuters. "Individual companies are grinding their teeth and are severely affected."
Treier said many of Germany's trading partners were affected by the U.S. measures and their effects, which was, in turn, hurting business with German companies. Exports were not faring as well as last year, he added.
He said DIHK's forecast that German exports would increase by 5 percent this year "seems increasingly ambitious".
The United States will impose tariffs on another $16 billion of imports from Aug. 23 and China plans to slap additional tariffs of 25 percent on the same amount of U.S. imports ranging from fuel and steel products to autos and medical equipment.
"It's simply unacceptable that U.S. laws are being enforced outside U.S. territory," Bingmann said.
He urged the German government to provide details on how it would protect German firms after the latest U.S. sanctions against Iran, adding that if Berlin did not do that, German firms would gradually cease doing business there.
On Monday German Foreign Minister Heiko Maas said Germany, France, and Britain were determined to protect European companies engaged in business with Iran using an updated version of the EU's so-called Blocking Statute, which bans any EU company from complying with U.S. sanctions.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)