European industry leaders have condemned Donald Trump’s demands for Greenland as “ludicrous” and warned that threatened tariffs would inflict severe damage on European economies. Hildegard Müller, president of the German auto industry association VDA, said the costs of additional US tariffs would be “enormous” for German and European industry, especially in challenging times. She called for a “smart, strategic response from Brussels” coordinated with affected countries.
Trump’s threat to impose a 10% tariff in February and a further 25% in June has derailed recent transatlantic trade calm. European leaders are expected to hold an emergency summit in Brussels on Thursday to discuss counter-tariffs on US exports including liquid gas, aircraft and machinery. The German engineering association VDMA urged the EU to stand firm, warning that giving in would encourage more “ludicrous demands” and further tariffs.
The German Chamber of Commerce and Industry (DIHK) criticised Trump for linking political ambitions to economic sanctions, calling it “unacceptable”. The EU struck a diplomatic tone on Monday, calling for calm as leaders sought to prevent the Greenland dispute from escalating into a full trade war. Manufacturers are scrambling to assess whether they can rush products into the US before the tariffs take effect, though short deadlines limit this option.
A senior figure in the UK automotive industry said there was limited time to get cars into the US before the levies. One carmaker executive said they were in “wait and see” mode, hoping talks between governments would avert the threat. Stephen Davies, chief executive of Welsh whisky maker Penderyn, said the tariffs would add costs that cannot be absorbed, risking market exits and years of reputation-building. The Trades Union Congress warned that Trump’s tariffs threaten to “take a wrecking ball” to key British manufacturing sectors and jobs, urging the UK government to prioritise closer ties with the EU.
