Europe is prepared to respond “within an hour” if the United States levies tariffs against the European Union, German Chancellor Olaf Scholz said in a pre-election debate with his conservative challenger Friedrich Merz.
In the first duel ahead of the Feb. 23 election, Merz portrayed Scholz as a ditherer who had led Germany into economic crisis, while the Social Democrat presented himself as an experienced leader in command of the details.
Asked if the EU was ready with a targeted response if the U.S. imposed tariffs, Scholz, well behind Merz in the polls, said, “Yes … We as the European Union can act within an hour.”
U.S. President Donald Trump has repeatedly threatened to enact tariffs against the United States’ largest trading partners, accusing them of free-riding on American prosperity. Trade policy is an EU competence, run by the European Commission in Brussels.
Trump and the far-right Alternative for Germany, endorsed by his confidante Elon Musk, overshadowed the debate.
Merz, far ahead in the polls and the favorite to become Germany’s next chancellor, expressed reluctance to raise taxes or borrow to reach the NATO alliance’s defense spending target of 2% of gross domestic product, far short of the 5% Trump is demanding.
When Scholz said that would not be enough, Merz signaled his openness to discuss scrapping Germany’s totemic spending cap — despite a manifesto pledge to keep the constitutional debt braked.
The two clashed over the AfD, with Scholz warning that Merz could not be trusted not to govern with the party. Merz ruled that out, blaming what he called Scholz’s “left-wing” policies for fueling the far-right party’s rise to second in the polls.
