The American Chamber of Commerce to the EU cautioned about the potential threats posed to the $9.5 trillion annual transatlantic business by the ongoing U.S.-European tariff dispute. The report from AmCham EU highlighted the strong economic ties between the two regions, with trade in goods and services reaching $2 trillion in 2024, setting new records. The year 2025 is seen as a pivotal moment with both promise and risk for the largest commercial relationship globally.

Recent actions, such as U.S. tariffs on steel and aluminum and the EU's retaliation plans, as well as the threat of steep tariffs on EU wine and spirits by President Trump, have escalated tensions. Trump's concerns about the U.S. goods trade deficit with the EU have been accentuated, despite a surplus in services. The focus on boosting domestic manufacturing in the U.S. has been stressed.

AmCham emphasized that trade is just one facet of the transatlantic ties, with investments playing a significant role. The report highlighted the substantial U.S. foreign affiliate sales in Europe and European affiliate sales in the U.S., surpassing traditional exports figures. It warned that any repercussions from the trade conflict could have adverse effects on these important links.

The lead author of the report, Daniel Hamilton, expressed concerns about the potential impact on intra-firm trade, especially in countries like Ireland and Germany. There is also a risk of spillover into other sectors like services trade, data flows, and energy, given Europe's dependence on U.S. LNG imports. Hamilton underscored the intricate interconnectedness of U.S. and European companies' value chains, necessary for global competitiveness, pointing out that disruptions could lead to inefficiencies.