US Trade Policy – Challenges for German Foreign Commerce

DIHK Foreign Trade Chief Volker Treier on the Trade Balance with the USA

The trade surplus with the United States decreased by 24.6% during the first 11 months of 2025 compared to the same period the previous year, reported the Federal Statistical Office – a consequence of US trade policy. Volker Treier, Foreign Trade Chief of the German Chamber of Commerce and Industry, emphasizes the need for improved local conditions and the conclusion of new free trade agreements.

20/01/2026 - "2025 was a year of record challenges in foreign commerce – especially due to US trade policy. Trade with our most important export market, the United States, has significantly decreased. While German exports to China also declined, the Middle Kingdom replaced the USA as Germany's most important trading partner. Imports from China notably increased due to trade diversions, whereas those from the USA rose only slightly. While the sales market of the USA is weakening considerably, the competitive offering from China is growing – also due to trade-related distortions.

The foreign trade environment remains extremely challenging: Geopolitical tensions and shifts in global trade flows are putting many companies under pressure. Strengthening location conditions in Germany is all the more urgent now. We need a noticeable and sustainable reduction in regulatory burdens so that our companies can compete internationally.

At the same time, the EU must resolutely advance its trade agenda. New free trade agreements are indispensable for reducing dependencies and securing access to global markets. The recently signed Mercosur Agreement is an important step in this direction – it strengthens the global connectivity of the German economy and sends a clear signal for open markets and reliable partnerships."

(only available in German)