Largely dependent on EU are the USA For imports of certain important products such as chemicals and machinery.
Specifically, the US can hardly replace these imports from the EU in the short term, as shows a new analysis of the German Economic Institute (IW). This could allow the EU to act with significantly more confidence in tariff negotiations.
Donald Trump continues to escalate the trade dispute with the EU. However, the US depends more on European imports than we thought earlier. This is evidenced by a new IW study funded by the German Foreign Ministry.
In more than 3,100 product categories, the US came at least half of their imports from the EU in 2024 – totaling approximately $ 290 billion. Almost 46% of all US imports from the EU concern products that Europe is likely to be difficult to replace.
Chemicals, Machinery, Metals – Difficult Replacement for the US
US dependence on the EU on imports is particularly important when at least 50% has insisted in the last five years, when goods are industrial goods and the US imports more than they export. Such products that are particularly difficult to replace are mainly in the following areas:
- Chemical and related products: This represents a value of imports of over $ 47 billion. These include some organic chemicals, such as special hormones, with US import share of almost 95%. The US imports almost 90% of EU insulin products.
- Machinery and Electric species: This includes products with a total value of imports of almost $ 16 billion in the US in the EU. Examples include front loading machines, blowing machines and special circuit switches.
- Basic metals and metal products: The US imports goods worth about five billion US dollars from the EU. For example, some unfinished metal products from the EU account for almost 72% of US imports.
The EU can negotiate with Trump with more confidence
“The US has few alternatives to the EU for many basic products,” says IW expert Samina Sultan. “Many goods cannot be replaced in the short term.” The EU has a clear advantage over China. “Because the United States reduces the risk for China, the EU is becoming increasingly necessary for it,” IW expert Jurgen Matches notes. “Therefore, Europe has every reason to face Washington’s threats with more confidence,” Sultan says.