Nearly half of U.S. companies in Europe expect declining economic ties, survey shows

U.S. Rep. Adam Smith, Democrat of Washington, speaks as he stands next to Rep. Ro Khanna, Democrat of California and member of the House Armed Services Committee; Chrissy Houlahan, Democrat of Pennsylvania and member of the House Armed Services Committee; and Michael Baumgartner, Republican of Washington and member of House Foreign Affairs Committee during a press conference at the American Chamber of Commerce in Shanghai on Sept. 25. [REUTERS/YONHAP]

 
Almost half of all U.S. companies operating in Europe believe transatlantic economic relations will worsen, although that is a marked improvement from the start of U.S. President Donald Trump’s second term, according to a survey published on Friday.
 
The American Chamber of Commerce to the European Union (Amcham EU), which has more than 160 members including Apple, Goldman Sachs, Meta Platforms and Visa, said its survey showed 46 percent of respondents expected worsening EU-U.S. trade and investment ties, compared with 89 percent in a similar survey in January.
 
One-third now expect stability after the EU and the United States struck a trade deal at the end of July, which is set to remove most EU duties on U.S. goods, while the United States imposes 15 percent import tariffs on most EU products.
 
Amcham said companies viewed the deal positively, despite criticism in Brussels and EU capitals.
 
“They see it as having averted unprecedented damage to transatlantic trade and investment, even as real concerns about the policy environment remain,” said Amcham EU CEO Malte Lohan.
 
A majority of the companies still anticipate a negative impact from Washington and Brussels policies — 60 percent for the United States and 56 percent for the European Union.
 
The survey, carried out among 52 U.S.-controlled members between Sept. 8 and 16, showed that reducing tariffs was still the number one priority.
 
The companies also stressed the need for addressing nontariff barriers, such as EU rules on deforestation and supply chains, and stronger cooperation and mutual recognition of standards.

Reuters