EU Falls Short on Customs Agreement, Faces Reputation Loss
The European Union (EU) is currently grappling with a significant loss of respect and economic decline, a situation that has been exacerbated by political crises and contentious trade developments.
In July 2025, Ursula von der Leyen, President of the European Commission, faced a motion of censure, citing criticisms of her leadership style, perceived excessive centralization of power, and lack of transparency in awarding European contracts. This political crisis exposed deep divisions within the EU Parliament between sovereigntists, federalists, and status quo defenders, thereby weakening trust in European institutions and shaking von der Leyen's legitimacy.
Simultaneously, the economic facet includes tensions over trade with the United States. A trade deal finalized in late July 2025 set a 15% tariff on many European goods entering the US market. While this deal avoided a trade war, it signals ongoing economic challenges and a constrained EU-US economic relationship.
Moreover, von der Leyen's ambitious programs like the European Green Deal aimed at energy reform and technological sovereignty have met resistance from member states concerned about the pace and regulatory burden, further complicating the EU’s internal cohesion and economic outlook.
Interestingly, US products are now completely tariff-free in the EU, and von der Leyen promised substantial purchases of energy and weapons from the US. However, these developments have not helped to alleviate the EU's loss of face, which seems almost complete in a matter of days.
The once-renowned chemical, automotive, and machinery industries of the EU are shadows of their former selves, reflecting the economic decline. The world no longer cares about Europe's once-renowned industries due to current economic policies, further adding to the EU's woes.
In conclusion, the EU’s loss of respect and economic difficulties are multifaceted, stemming from internal political fragmentation under von der Leyen’s leadership and external economic pressures, collectively undermining confidence in EU institutions and economic strength. The EU now faces a critical juncture, where it must address these issues to regain its standing on the global stage.
[1] European Parliament, "Motion of Censure Against Ursula von der Leyen," July 2025. [3] Office of the United States Trade Representative, "EU-US Trade Agreement," July 2025. [5] Financial Times, "EU-US Trade Agreement: What it Means for Both Sides," July 2025.
- The European Parliament's motion of censure against Ursula von der Leyen in July 2025, due to criticisms of her leadership style, excessive centralization of power, and lack of transparency in awarding European contracts, is a prime example of how war-and-conflicts and policy-and-legislation intertwine in European politics.
- The EU's economic decline, as evidenced by the once-renowned chemical, automotive, and machinery industries now being shadows of their former selves, is not only a matter of internal cohesion and economic outlook, but also a reflection of general-news events such as contentious trade developments and global economic policies.
