Brussels, January 17, 2026 – The European Union has issued a stern warning concerning new tariff threats from the United States, cautioning that such measures risk a ‘dangerous downward spiral’ for transatlantic relations. This development comes as the EU also successfully signed a major free trade agreement with Mercosur nations, and over 3,000 individuals participated in protests in Leipzig.
EU Warns of ‘Dangerous Downward Spiral’ Over US Tariff Threats
Following recent tariff threats from the United States, the European Union has voiced strong concerns about the potential consequences for both sides. European Commission President Ursula von der Leyen and Council President Antonio Costa jointly stated that new tariffs would risk a ‘dangerous downward spiral’ and harm transatlantic relations. They affirmed that Europe would remain united in defending its sovereignty.
US President Donald Trump had previously announced plans to impose new tariffs on goods from eight European countries starting in February. This regulation is intended to remain in effect until Denmark sells Greenland to the United States. The affected countries include Denmark, Germany, Norway, Sweden, France, Great Britain, the Netherlands, and Finland.
EU and Mercosur Sign Landmark Free Trade Agreement
In a significant move towards global trade liberalization, the European Union and the South American nations of Brazil, Argentina, Uruguay, and Paraguay have formally signed the Mercosur agreement. This landmark deal establishes one of the world’s largest free trade zones, encompassing over 700 million inhabitants and a combined economic output of approximately 19 trillion Euros.
The agreement now requires ratification by the European Parliament. However, a majority vote for ratification is currently considered uncertain, indicating potential hurdles ahead for the full implementation of the deal.
Over 3,000 Demonstrators Gather in Leipzig for Protests
In Leipzig, demonstrations concerning the Middle East stance within the left-wing scene concluded without any major incidents. Police spokesman Olaf Hoppe reported that the operation was largely peaceful, though there were violations of the ban on facial coverings. Additionally, two television crews were reportedly attacked during the protests.
According to police estimates, more than 1,400 people protested against pro-Israel sentiments in the Connewitz district. The demonstration was organized by a pro-Palestinian group classified as extremist by the German domestic intelligence agency (Verfassungsschutz).
Conversely, approximately 1,600 counter-demonstrators participated, including autonomous left-wing extremists, as reported by the police. The presence of both groups highlighted the polarized views on the Middle East conflict within the city’s activist communities.
Football: RB Leipzig Suffers Heavy Defeat Against Bayern
In German Bundesliga football, RB Leipzig experienced a significant loss, falling 1-5 at home to Bayern Munich. Other results from the league include Dortmund defeating St. Pauli 3-2, Hoffenheim beating Leverkusen 1-0, Hamburg drawing 0-0 with Mönchengladbach, Köln securing a 2-1 victory over Mainz, and Wolfsburg drawing 1-1 with Heidenheim.
In the second division, Dynamo Dresden passed the ‘red lantern’ (bottom spot) to Greuther Fürth after winning their relegation battle 2-0 at home. Elversberg was defeated 2-3 in Nürnberg, and Karlsruhe won 2-0 against Münster.
In the third division, Erzgebirge Aue earned a point, drawing 1-1 in Rostock.
