Goods trade between the European Union and the United States reached a record €875 billion ($1.00 trillion) last year, defying the drag of ongoing tariff disputes.
However, a new study indicates that these aggregate figures mask significant economic damage, particularly within Germany’s automotive sector, which continues to face structural headwinds from trade barriers.
The divergence between headline trade volumes and sector-specific pain highlights the uneven impact of transatlantic trade policy.
While overall flows remain robust, the German auto industry—a cornerstone of the EU’s export engine—is absorbing the brunt of tariff-related costs.
This dynamic suggests that aggregate trade data may understate the friction in key industrial supply chains.
The findings come as EU member states have granted final approval for the implementation of a broader trade agreement with the United States.