Is the EU ready for the second Trump administration? A look at the energy aspects
Energy 30 January 2025Estimated time of reading: ~ 4 minutes
The European Union is preparing for the next four years of coexistence with the U.S. administration of Donald Trump. The new White House tenant, now in his second term, has already made promises that have caused concern in Brussels and in the chancelleries of EU member states. From security to the economy, with the bogeyman of tariffs hanging over European industries, already weakened by the many shocks of recent years, the Trump effect on the European Union could cause many problems and exacerbate already existing tensions on the continent. One of the issues causing the most alarm is energy. Trump’s approach to energy policy, both domestic and international, often conflicted with the EU’s environmental goals, and his “America First” rhetoric already complicated traditional cooperation in areas such as climate change, energy security, and international trade during his first term in office at the White House. In 2017 the Trump administration took a starkly different approach to climate change than its European counterparts, with the decision to withdraw the United States from the Paris Climate Agreement. Such a choice sent a clear message about his administration’s stance on climate action and created a great divide with the other side of the Atlantic. At that time, this move by the Trump administration was deeply unpopular in Europe, where there was a strong consensus on the need for international cooperation to combat climate change. All of this has, moreover, highlighted the vast difference in approach to multilateralism, which was openly disavowed in Donald Trump’s first stint as president and will most likely be further opposed in the next four years.
For the EU, climate change is not only an environmental issue but also a cornerstone of its economic strategy. The European Green Deal, launched in December 2019, aimed to make Europe the first climate-neutral continent by 2050, a rather ambitious goal that has already encountered some obstacles in the last few years. Still, Trump’s environmental policies, including rolling back numerous environmental regulations, such as those limiting emissions from power plants and cars, clashed with the EU’s progressive climate agenda. Under the first Trump term in office, the United States became the world’s top producer of oil and natural gas, largely due to the expansion of shale production. This emphasis on fossil fuels stood in stark contrast to the EU’s push toward renewable energy sources, such as wind and solar power.
In his Jan. 20 inaugural address in Washington, the U.S. president used the slogan “Drill, baby Drill!”, signalling a return to the use of fossil fuels and an agenda focused on deregulation in the energy sector. Trump has said that if the EU doesn’t want to face heavy tariffs on trade, “the one thing they can do quickly is buy our oil and gas.” What can the EU do in this perspective? A European Commission spokesperson for energy told the website “Politico” that “The priority is to have a conversation, to engage early, discuss common interests, and then be ready to negotiate.” At the same time, discussions at the highest level about LNG already happened between representatives from the EU and the U.S., which is already the second-largest gas supplier and the largest source of LNG for European countries. Thus far in 2025, over half of the LNG imported by the EU member states came from the United States. It is difficult at present to determine what will happen in the coming months, but there are certainly already bases for cooperation between Washington, Brussels, and other European capitals. Thus, the reasons for trade and business may prevail over other political instances.
Written by: Francesco Marino