Germany's Merkel Signals Deepening Rift With US Under Trump

Trump keeps up criticism of Germany

He labeled both things "very bad for U.S". His censure follows a volley of criticism from Germany after the president concluded his first official tour overseas on Sunday, returning from Saudi Arabia, Israel, Brussels and then Italy for a G7 summit.

Earlier this week she hit out at Britain and the USA saying they are no longer reliable partners and Europe had to "take its fate into its own hands".

Merkel on Monday repeated nearly word for word her message from Sunday, when she told her Bavarian conservative allies in a packed Munich beer tent that "we Europeans must really take our fate into our own hands". Germany's Foreign Minister Sigmar Gabriel followed her and blasted the USA, saying the Trump administration's "short-sighted policies... stand against the interest of the European Union".

President Donald Trump on Tuesday blasted Germany for its trade practices and what he views as its shortchanging of other North Atlantic Treaty Organisation members, further weakening a partnership widely viewed as key to global stability.

"The times when we could fully rely on others have passed us by a little bit".

The eurozone's big three economies, Germany, France and Italy, are sharply at odds with the U.S. over climate change, the future of worldwide trade and the management of mass migration. "Today, the United States is heading into a direction on key issues that seems diametrically opposite of where Europe is heading".

"That's a good relationship and there are few leaders as committed to the transatlantic relationship as Merkel is to the friendship of the United States", Wettig continued.

For Trump, the domestic politics of a Merkel feud are simple, with little downside. "She did this before in the face of crisis that Europe is facing". "She said: 'The time when Europe could rely exclusively on others is somewhat in the past, and as I have witnessed over the past few days, Europe must take its fate into its own hands".

- Resume EU trade talks?

Where Europe's relationship with the US during the Cold War and in its immediate aftermath had a strong emotional component, Merkel's comments suggest she now sees them as more "pragmatic and transactional", said Sylke Tempel, an expert with the German Council on Foreign Relations.

"It makes sense to continue TTIP negotiations and to work towards a solution that increases overall trade while reducing our trade deficit", Ross told CNBC.

Germany is the largest trading partner for India in the European Union and one of the leading sources of foreign direct investment into the country.

When Trump took office in January one of his earliest moves was to exit the TPP, which Washington had signed with 11 countries in the Asia-Pacific region, including Japan and Australia.

"The president is getting results", he concluded.

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