Tag: Europe

“The European Union was formed in order to screw the United States, that’s the purpose of it.” So said U.S. President Donald Trump in February. He repeats this assertion whenever U.S.-European relations are a topic of debate.

Trump voiced his distorted view of the EU in his first term in office and picked it up again in the first three months of his second term, which began on January 20 and featured the start of a U.S. tariff war which up-ended international trade and shook an alliance dating back to the end of World War II.

What or who gave the U.S. president the idea that the EU was “formed to screw” the United States is something of a mystery. If he were a student in a history class, his professor would give him an F.

Trump’s claim does injustice to an institution that won the Nobel Peace Prize in 2012 in recognition for having, over six decades, “contributed to the advancement of peace and reconciliation, democracy and human rights in Europe” as the Nobel committee put it.

So, here is a brief guide to the creation of the EU, now the world’s largest trading bloc with a combined population of 448 million people, and the events that preceded its formal creation in 1952. 

Next time you talk to Trump, feel free to brief him on it. 

Staving off war

With Germans still clearing the ruins of the world war Adolf Hitler had started in 1939, far-sighted statesmen began thinking of ways to prevent a repeat of a conflict that killed 85 million people. 

The foundation of what became a 28-country bloc lay in the reconciliation between France and Germany. 

In his speech announcing the Nobel Prize, the chairman of the Norwegian Nobel Committee, Thorbjorn Jagland, singled out then French Foreign Minister Robert Schuman for presenting a plan to form a coal and steel community with Germany despite the long animosity between the two nations; in the space of 70 years, France and Germany had waged three wars against each other. That was in May 1950. 

As the Nobel chairman put it, the Schuman plan “laid the very foundation for European integration.”

He added: “The reconciliation between Germany and France is probably the most dramatic example in history to show that war and conflict can be turned so rapidly into peace and cooperation.”

From enemies into partners

In years of negotiations, the coal and steel community, known as Montanunion in Germany, grew from two — France and Germany — to six with the addition of Italy, Belgium, the Netherlands and Luxembourg. The union was formalized with a treaty in Paris in 1951 and came into existence a year later. 

The coal and steel community was the first step on a long road towards European integration. It was encouraged by the United States through a comprehensive and costly programme to rebuild war-shattered Europe.

Known as the Marshall Plan, named after U.S. Secretary of State George C. Marshall, the programme provided $12 billion (the equivalent of more than $150 billion today) for the rebuilding of Western Europe. It was part of President Harry Truman’s policy of boosting democratic and capitalist economies in the devastated region.

From the six-nation beginning, the process of European integration steadily gained momentum through successive treaties and expansions. Milestones included the creation of the European Economic Community and European Atomic Energy Community.

In 1986, the Single European Act paved the way to an internal market without trade barriers, an aim achieved in 1992. Seven years later, integration tightened with the adoption of a common currency, the Euro. Used by 20 of the 27 member states, it accounts for about 20% of all international transactions.

Brexiting out

One nation that held out against the Euro was the United Kingdom. It would later withdraw from the EU entirely after the 2016 “Brexit” referendum led by politicians who claimed that rules made by the EU could infringe on British sovereignty. 

Many economists at the time described Brexit as a self-inflicted wound and opinion polls now show that the majority of Britons regret having left the union.

In decades of often arduous, detail-driven negotiations on European integration, including visa-free movement from one country to the other, no U.S. president ever saw the EU as a “foe” bent on “screwing” America. That is, until Donald Trump first won office in 2017 and then again in 2024.

What bothers him is a trade imbalance; the EU sells more to the United States than the other way around; he has been particularly vocal about German cars imported into the United States.

Early in his first term, the Wall Street Journal quoted him as complaining that “when you walk down Fifth Avenue (in New York), everybody has a Mercedes-Benz parked in front of his house. How many Chevrolets do you see in Germany? Not many, maybe none, you don’t see anything at all over there. It’s a one-way street.”

This appears to be one of the reasons why Trump imposed a 25% tariff, or import duty, on foreign cars when he declared a global tariff war on April 2. 

His tariff decisions, implemented by Executive Order rather than legislation, caused deep dismay around the world and upended not only trade relations but also cast doubt on the durability of what is usually termed the rules-based international order. 

That refers to the rules and alliances set up, and long promoted by the United States. For a concise assessment of the state of this system, listen to the highest-ranking official of the European Union: “The West as we knew it no longer exists.”

So said Ursula von der Leyen, president of the Brussels-based European Commission, the main executive body of the EU. Its top diplomat, Kaja Kallas, a former Prime Minister of Estonia, was even blunter: “The free world needs a new leader.”

---

 

Questions to consider:

1. Why was the European Union formed in the first place?

2. How can trade serve to keep the peace?

3. In what ways do nations benefit by partnering with other countries?

---