Germany’s Merz says Trump tariffs risk fanning a financial crisis

German Chancellor-in-waiting Friedrich Merz said Donald Trump’s tariff policies increase the risk of a financial crisis and advocated for a US-European free trade agreement, picking up on an idea that has drawn a hostile response from the US president.

“Yes, I’m hoping for a new transatlantic free-trade accord,” Handelsblatt cited Merz as saying in an interview. “Zero percent tariffs on everything. That would be better for both sides.”

The European Union has proposed reciprocal...