EU nations are concerned that US President Trump's handling of the Russia-Ukraine peace pact may disregard their interests. EU nations are worried after the November 30, 2025, meeting between Ukrainian and American delegates in Miami. The Indian Express and The Economic Times have reported that European nations are concerned that US President Donald Trump is not taking the EU's interests into consideration while pursuing peace negotiations to put an end to the conflict between Russia and Ukraine.
According to these reports, EU nations are considering using financial pressure on the US if US President Donald Trump continues to disregard their interests in the peace agreement between Russia and Ukraine.
Market analysts claim that if US President Donald Trump proceeds unilaterally on the Russia-Ukraine peace deal while ignoring the interests of EU nations, then the EU's resentment of him is warranted. They insisted, however, that Donald Trump cannot disregard the interests of EU nations because they may put financial pressure on Trump. Donald Trump imposed tariffs on US trading partners by using financial pressure. It is now the turn of the EU nations. They may begin selling their about $2.34 trillion worth of US Treasury bonds in a coordinated fashion. The US economy, which is currently dealing with a financial crisis, will be severely shocked by this.
What does the US stand to gain from the financial clout of EU nations?
"EU countries together hold around 2.34 trillion US Treasuries," stated Anuj Gupta, Director at Ya Wealth, regarding the effect of EU countries' financial leverage on the US. The demand for US Treasuries will rise and US Treasury yields will climb if they sell those US bonds in unison, which will put additional pressure on the US dollar and US debt. Additionally, this could lead to the sale of US bonds abroad, which could result in a more serious financial catastrophe than the 2008 financial downturn brought on by the Lehman Brothers scandal. Therefore, Trump's only choice is to resolve the issues raised by EU nations while securing a peace agreement in the Russia-Ukraine war.”
"There are two types of players in this Russia-Ukraine peace deal – de jure and de facto," stated Sandeep Pandey, co-founder of Basav Capital, regarding the counter tariff that EU nations also have. Since Russia and Ukraine are at odds, they are de facto participants in these peace negotiations. Since several EU nations would be directly threatened if Ukraine lost some of its territory to Russia, the EU may also be considered a de jure player in this agreement. Nonetheless, because it is a member of NATO and most EU nations are as well, the US is a de facto player. There is a lot of aggressive financial leverage. The US administration can't even face the EU countries' counter-tariff shock as they are already facing the debt payment challenge due to the rise in the US Treasuries yield from 2 to 2.50% to over 5%."
"Donald Trump is using it more as a negotiating strategy. He is attempting to minimize the number of parties involved in the early stages of the peace negotiations between Russia and Ukraine. Once the delegates from Russia and Ukraine have established an agreement, he might meet with the NATO countries. Both de jure and de facto players are deftly playing their cards because the process appears to be taking a long time, something the EU countries are fully aware of," stated Sandeep Pandey.
Information on US Treasures Held by EU Nations
An Indian Express story claims that European countries have significant influence. As of December 2024, the US debt of the United Kingdom is predicted to be $722.7 billion, and the total debt of the member states of the European Union is approximately $1.62 trillion. The EU and the UK collectively own over $2.34 trillion in US Treasury bonds, making them one of the biggest foreign holders of US debt.
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