German economy minister sharply criticises Trump’s tariffs and sanctions policies

German economy minister Peter Altmaier deeply condemned Trump’s decision to levy metal import tariffs, saying such measures destroyed jobs and the overall economic growth. He also criticised the Trump administration’s decision to declare sanctions against Iran and said Europe by no means should bow to the US pressure regarding Iran.

Besides import tariffs for bitter tit-for-tat trade dispute, the United States’ sanctions on Tehran would also target the European companies doing business with Iran and thus, would open another battle front.

“This trade war is slowing down and destroying economic growth – and it creates new uncertainties,” Altmaier told Bild am Sonntag newspaper, adding that consumers suffered the most because higher tariffs were driving up prices.

Altmaier lauded the agreement reached by European Commission President Jean-Claude Juncker during negotiations with Trump last month, saying the interim deal saved hundreds and thousands of jobs in Europe.

Altmaier further said, “The agreement between the EU and U.S. can only be a first step. Our goal is a global trade order with lower tariffs, less protectionism and open markets.”

Turning to the US sanctions on Iran, the minister said Germany and its EU allies would continue doing business with Iran despite the US pressure.

“We won’t let Washington dictate us with whom we can do business and we therefore stick to the Vienna Nuclear Agreement so that Iran cannot build atomic weapons,” Altmaier said.

Although German business associations have warned that companies are increasingly suffering from Trump’s sanctions policies, Altmaier expects strong growth this year due to vibrant domestic demand. Analysts at the Federal Statistics Office are forecasting the quarterly growth rate to pick up to 0.4 per cent and 0.3 per cent in the first quarter.