Diependaele on Trump: “Tearing down free trade is sheer madness”

President Trump’s decision to double import tariffs on European steel and aluminium is being felt in Flanders as well. Flemish Minister-President Matthias Diependaele reacted on the current affairs programme Terzake: “Obstructing free trade means a loss of prosperity for everyone—yes, including the United States.”

“Economic stability is also a matter of national security”

According to Trump, raising the tariffs from 25% to 50% is meant to safeguard national security and support strategic autonomy. But Matthias Diependaele sees it differently: “Economic growth and stability are equally part of national security. He’s making a serious mistake.”

Still, Diependaele suspects a tactical motive behind the move: “I’m convinced he’s using this as a negotiation strategy. But the man is hard to read, and he doesn’t shy away from going to extremes.”

“Let’s not make this all about Trump”

Diependaele also wants to widen the lens: “Frankly, I’m tired of the constant focus on Trump. Europe urgently needs to work on its own Competitiveness The extent to which companies in one country can compete with similar companies in another country. A law came into force in Belgium in 1996 to monitor competitiveness. This stipulates that Belgian salaries may not evolve faster than the average of those in the three neighbouring countries. The Central Economic Council (CEC) performs an annual measurement to see if the objectives have been obtained. competitiveness .”

He refers to IMF The International Monetary Fund (IMF), established in 1945, focuses on monetary issues. The global organisation is governed by and accountable to the 188 member countries. In addition to financial stability, monetary cooperation and international trade, the IMF promotes and supports employment, sustainable economic growth and combating poverty. In this regard, it provides loans, technical assistance, specialised training courses and advice to governments. It also monitors financial trends. IMF figures showing that internal trade barriers within the EU still amount to the equivalent of 40% import duties on goods and 110% on services. “The EU needs to get its internal market in order first. That’s where the biggest gains are to be made.”

Impact on Flanders? Absolutely.

Two-thirds of Flemish jobs rely on exports or foreign investment. The Flemish economy is therefore highly vulnerable to global trade shocks. “We are one of the most open economies in the world. So yes, this affects us—especially in the long run.”

According to Diependaele, Flanders is already doing its homework. A productivity agenda has been launched to address stagnating productivity, and a simplification programme called Regelrecht is underway in consultation with employers. At the same time, Flanders is actively seeking out new export markets beyond Europe, including through trade missions to countries like Brazil and India.

New trade deals like CETA with Canada, he says, show the potential: “Since CETA came into force, our trade with Canada has grown by 75%. People were afraid, but the outcome has been positive.”

“The biggest winner of free trade is now turning against the system”

Finally, Diependaele voiced his frustration with the U.S. position: “The country that has benefited the most from free trade is now trying to dismantle the system. That’s just insane.”