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Blinken Heads To Germany For G7 Ministerial Amid Simmering Trade Dispute

US-EU

US Secretary of State Antony Blinken will travel to Munster, Germany on Thursday and Friday to participate in a G7 foreign ministerial on "pressing global challenges," including food and energy security and threats to democracy.

  • US President Joe Biden's number one diplomat may be drafted in ease the concerns raised by German Chancellor Olaf Scholz and French President Emmanuel Macron that provisions within the US Inflation Reduction Act are protectionist, will damage the EU automotive sector, and could prompt a tit-for-tat trade war.
  • Politico reported yesterday that US Trade Rep Katherine Tai has so far failed to soothe concerns in meetings with EU delegates in Prague.
  • Politico: "Among the 27 EU countries, anxiety about the US measure is growing. Sweden’s new trade minister, Johan Forssell [said on] Sunday that aspects of the U.S. legislation were “worrying” and “not in accordance with [World Trade Organization] rules."
  • Blinken's trip will also include a moderated discussion on the future of democracy with German Foreign Minister Annalena Baerbock at the Futures Forum.

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