TAE calls for: The new shifts in power must be taken into account – Europe first!

The Taxpayers Association of Europe (TAE) is appalled by recent economic and geopolitical developments in the United States.

TAE calls on Europe to address these challenges swiftly and with a united front. Europe must give greater priority to its own interests in all areas, including the production and supply of goods and services, research and development, and the protection of its external borders.

Here are three examples:

  1. Suspension of US military aid to Ukraine
    In early March, President Trump suspended military aid to Ukraine overnight, including a halt to US satellite reconnaissance. This had serious consequences for Ukraine’s defence capabilities.
    This example shows that one cannot rely on the use of systems, regardless of whether they were purchased or provided free of charge. This applies in particular to the use of the GPS system, which is owned by the US government. Most countries rely on it for both civilian and military purposes.
    What if the President of the United States were to decide that we were no longer allowed to use GPS?
  2. Storage of gold reserves in the US:
    EU countries such as Germany store large portions of their national gold reserves in the US. There are historical and monetary policy reasons for this.
    US President Trump has repeatedly expressed his dissatisfaction with the independence of the US Federal Reserve (Fed), for example with regard to the pace of, or cuts to, US interest rates. He would like to tie the Fed more closely to the White House. But what if countries wish to repatriate their gold reserves and this is deemed unacceptable at the highest levels of the US government? Furthermore, in the past it was not possible to physically inspect gold reserves stored in the US. For example, members of the German Bundestag were denied the right to inspect and verify them directly.
  3. Dependence on American weapons systems
    America is one of the leading nations in the production of weapons systems.

One example of this is the state-of-the-art US F-35 fighter jet. Germany, for instance, recently ordered 35 of these jets. Although many parts of the F-35 are manufactured outside the US, given the possibilities for digital access, the legitimate question remains as to how it can be ensured that third parties will not be able to access the jets at a later date and, in the worst-case scenario, how a remote shutdown (‘kill switch’) can be effectively prevented. Another important question is whether the F-35 can operate exclusively with the US GPS system.   

TAE approaches and recommendations for action:

  • The European satellite system Galileo has so far been used mainly for civilian purposes. It is essential to extend the use of Galileo to military applications. All existing systems should be checked for compatibility and retrofitted. When purchasing new systems, care must be taken to ensure that they are always compatible with Galileo.
  • The gold reserves of EU countries should be repatriated from the US to Europe. At the very least, a full inventory and audit must be carried out. The repatriation of national gold reserves does not necessarily mean that they must be stored within the country itself. It is important to ensure unrestricted access to them.
  • When procuring essential goods, it must always be ensured that their use and application cannot be restricted by third parties. This applies in particular to highly sensitive areas such as defence.

 Europe and the EU should view the new global shifts in power as an opportunity for reorientation. Together we are strong. Europe first!