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The trade of goods between the EU and the U.S. reached a record €875 billion ($1.00 trillion) last year despite mounting tariff pressures, but the headline figures mask serious damage in key sectors, a study by the German Economic Institute (IW) showed on Friday.
European Union exports to the United States rose 7.7% to €580 billion, while U.S. imports into the EU climbed 2.2% to €295 billion, pushing the EU’s trade surplus to nearly €285 billion.
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At first glance, these record figures might suggest that the tariffs introduced under President Donald Trump and political tensions have left the underlying economic relations largely unaffected or have even unintentionally intensified them.
However, this first impression is misleading, said IW economist Samina Sultan.
Certain sectors are already suffering significantly, particularly the automotive sector.
EU car and parts exports to the U.S. fell 20.4% in 2025, with Germany – which accounts for nearly two-thirds of EU auto exports to the United States – posting an 18.9% drop.
Ireland bucked the trend with a 52.7% surge in exports, driven by tariff-exempt pharmaceutical and chemical products.
Transatlantic services trade also hit a record €865 billion, though the EU ran a €178 billion deficit in that category.
Intellectual property fees – covering software licenses, patents and trademarks – accounted for more than 40% of EU service imports from the U.S., rising 13.7%.
