German and French industry united on EU aircraft sector tariffs

Euronews

20-06-2025

The German Aerospace Industries Association (BDLI) wants only completed products aircraft and helicopters to be targeted by the EU for retaliatory tariffs - leaving the market for the supply of parts unscathed - if trade negotiations between the EU and the US founder, the group has told Euronews. It's position aligns it with the French sector's stance.
'If the EU must respond, counter-tariffs should focus strictly on fully finished aerospace end products – such as complete aircraft and helicopters – and explicitly exclude spare parts or critical products,' BDLI said in an email to Euronews. 'This is essential to avoid unintended harm to European and global production networks.'
US aircraft are included in the European Commission's draft listof €95 billion worth of US products that could face duties if ongoing negotiations fail. The list was open for industry consultation until 10 June and now awaits approval by EU member states.
BDLI's position mirrors that of Airbus CEO Guillaume Faury, who also chairs the French aerospace association GIFAS. Speaking to French media in May, Faury backed tariffs on finished aircraft but warned against measures affecting spare parts, to avoid disrupting the global supply chain.
A source familiar with the matter told Euronews that the French government supports the stance of its aerospace industry.
In response to the EU's inclusion of aircraft in its draft retaliation list, the US has launched an investigation that could pave the way for the Trump administration to impose additional tariffs on the EU aerospace sector.
Trade tensions between the EU and the US risk reignitingthe long-standing rivalry between aerospace giants Boeing and Airbus. However, the two economies' production systems are tightly intertwined. For instance, the LEAP engine, used in both Airbus and Boeing jets, is co-produced by US-based General Electric and France's Safran.
Aircraft remain a central issue in ongoing EU-US negotiations. Following a discussion with US President Donald Trump on the sidelines of the G7 summit in Canada on Monday, European Commission President Ursula von der Leyen said both leaders had directed their teams to accelerate negotiation.
EU Trade Commissioner Maroš Šefčovič also met with US Trade Representative Jamieson Greer on Monday, on the margins of the G7. A follow-up meeting with US counterparts is scheduled to take place in Washington on Thursday and Friday, an EU spokesperson confirmed.
The US currently imposes tariffs of 50% on EU steel and aluminium, 25% on cars, and 10% on all other EU imports. President Trump has warned he will raise tariffs on all EU imports to 50% if no 'fair' agreement is reached by 9 July.
The UK has the highest rate of telework among 18 European countries, with employees working an average of 1.8 days a week from home. On a wider scale, this total also places the UK second out 40 nations.
But, aside from the UK, how do work-from-home (WFH) rates differ across Europe and the world? And what might explain variations between countries?
The Global Survey of Working Arrangements (G-SWA) shows that telework trends have evolved since the COVID-19 pandemic. The fourth wave of the survey, conducted between November 2024 and February 2025, covers full-time workers aged 20 to 64 who have completed tertiary education (college or university).
While the global telework average stands at 1.2 days per week, WFH rates vary significantly across the 40 countries surveyed, ranging from just 0.5 days per week in South Korea to 1.9 days in Canada.
Several factors underpin the UK's top ranking, according to Dr. Cevat Giray Aksoy, lead economist at the EBRD and associate professor of economics at King's College London.
'The UK scores highly on cultural individualism, which is strongly associated with comfort in autonomous work environments,' said Giray Aksoy.
Aksoy noted that the UK experienced long and stringent lockdowns, accelerating the adoption of remote work infrastructure and norms. He also explained that the UK's labour market is concentrated in service sectors — such as finance, consulting, and media — where WFH can be a practical option.
"Crucially, British workers have developed strong and durable preferences for hybrid work, typically wanting 2–3 WFH days per week. This is no longer a marginal benefit; it's a core expectation," he said.
Aksoy warned that firms ignoring this reality may face a serious disadvantage in attracting and retaining talent — particularly when competing with employers in other English-speaking countries that have embraced flexibility.
In Europe, Finland (1.7 days) and Germany (1.6 days) followed the UK in the ranking. The WFH rates are also relatively high in Portugal (1.5 days), as well as in Hungary and the Netherlands (both 1.4 days).
Employees in Czechia, Italy, and Sweden work from home 1.3 days per week, which is slightly above the global average. Romania, Spain, and Austria align with the global average, each reporting 1.2 remote work days per week.
Dr. Aksoy attributes the variation across European countries to a mix of structural, cultural, and economic factors.
'Among these, the most powerful predictor is individualism — a cultural trait that emphasises personal autonomy, self-reliance, and independence over collective goals or close supervision,' he said.
He added that other factors also play a role. These include the severity and duration of COVID-19 lockdowns, population density, and the industrial structure of each economy. For instance, countries with a larger share of remote-friendly sectors such as IT and finance are better positioned to support hybrid models. Densely populated countries also often see higher WFH levels, in part due to longer commutes.
Greece reports the lowest WFH rate in Europe at just 0.6 days per week.
'Part of the explanation lies in the structure of the Greek economy, which leans heavily on sectors like tourism, retail, and hospitality — jobs that generally require physical presence,' said Aksoy.
'But deeper cultural and institutional factors also play a role. Greece scores relatively low on individualism,' he added.
He stated that digital adoption and management practices were relatively underdeveloped before the pandemic, which likely slowed the normalisation of WFH.
While Finland ranks second in Europe with 1.7 remote work days per week, Norway and Denmark report significantly lower rates at just 0.9 days. Sweden, with 1.3 days, sits in between, reflecting a clear divide in remote work trends across the Nordic countries.
Aksoy explained that Finland has a slightly more individualistic culture and a long-standing emphasis on work-life balance and employee autonomy compared to Denmark and Norway, which may maintain more traditional management practices.
'Finnish organisations, especially in the public sector and technology industries, were early adopters of flexible work policies — even before the pandemic,' he added.
Among Europe's five largest economies, France has the lowest remote work rate, with employees averaging just 1 day per week from home. Turkey follows closely at 0.9 days, while Poland is slightly ahead with 1.1 days.
Overall levels of working from home have declined globally, dropping from an average of 1.6 days per week in 2022 to 1.33 days in 2023. In 2024 and 2025, they fell far more modestly to 1.27 days.
The research concludes that remote work levels have roughly stabilised since 2023.
'However, this stability doesn't mean stasis. Incremental shifts could still occur — driven by new technologies, changing demographics, or evolving labour market conditions,' Aksoy added.