G7 Finance Leaders Try to Stay United Despite Trump’s Tariffs – Reuters
Finance ministers from the Group of Seven (G7) countries are meeting this week in Banff, Canada, and Reuters reports that their main goal is to show unity—even though they strongly disagree on U.S. President Donald Trump’s recent tariffs.
According to Reuters, the U.S. Treasury Secretary, Scott Bessent, will attend the meeting from Tuesday to Thursday. Trump’s steep new tariffs are putting strain on relationships with G7 countries like Japan, Germany, France, Italy, the UK, and even host nation Canada.
Here’s what’s really happening: Japan, Germany, France, and Italy might soon face double the tariffs—up to 20% or more—while Britain still has a 10% U.S. tariff on most of its exports. Canada is also struggling with a separate 25% U.S. tax on many goods it sells to America. Reuters explains that these tough policies are forcing G7 leaders to tread carefully during the meeting.
Even though many G7 officials are frustrated, Reuters notes they aren’t expecting the U.S. to back down. Instead, the other six countries may politely remind the U.S. that they are close allies and that being hit with high tariffs makes it harder for them to work with Washington against common challenges, especially China’s economic practices.
According to Reuters, Bessent says he wants the G7 to “get back to basics” and focus on dealing with unfair economic practices, both inside and outside the G7. He is particularly focused on pushing back against China’s heavy subsidies and overproduction of cheap goods.
Reuters highlights that some ministers are expected to use private talks to ask Bessent for lower tariffs on their countries. Japan, for example, is in advanced negotiations. But Bessent has warned that if any country doesn’t negotiate “in good faith,” Trump’s administration might hit them with even higher tariffs—Japan could face 24%.
Interestingly, Reuters reports that Bessent is seen by many as someone who might soften Trump’s trade agenda. That’s why G7 members will likely urge him to promote more moderate policies.
Now here’s the twist: Even though they have big disagreements, especially over trade, G7 countries still want to end the meeting with a joint statement. According to Reuters, Canada is working hard to get all members to agree on some common issues, such as:
- Ongoing support for Ukraine, though the language may be vague
- Stronger sanctions on Russia, especially after failed ceasefire talks in Istanbul
- Support for the IMF and World Bank
- Fighting financial crimes like money laundering
- Encouraging more private sector investment
But climate change could be a sticking point. Reuters notes that Trump has opposed many green energy policies, so that topic might cause tension.
Another tricky part is how to talk about the uncertainty and reduced business investment caused by the tariffs—without directly blaming Trump. Suzanne Clark, head of the U.S. Chamber of Commerce, told Reuters that the future is hard to predict right now. She urged G7 business leaders to keep fighting for values like democracy, free markets, and the rule of law.
Unique Perspective:
What stands out from Reuters’ report is how the G7 is trying to keep things civil despite obvious tensions. It’s like a family dinner where no one wants to talk about the elephant in the room. Trump’s tariffs are clearly upsetting the group, but instead of risking a public fallout, G7 leaders are choosing quiet diplomacy. This shows how high the stakes are—they know that a fractured G7 would only benefit rivals like Russia and China.
For everyday people and businesses, the message is clear: international trade policies are no longer just about economics—they’re now deeply tied to diplomacy, security, and global influence. And as Reuters makes clear, even allies can clash hard when money and power are involved.
Source: Reuters. For more simplified updates and global financial news, keep visiting our site.