A comprehensive study released Tuesday by the European Investment Bank reveals that companies across the European Union have successfully navigated increased tariffs imposed by the United States, though they continue to struggle with internal trade barriers within their own economic bloc.
The research, conducted by Europe’s largest investment institution, also found that European businesses match their American counterparts in artificial intelligence adoption, which has helped enhance their operational efficiency.
According to the bank’s findings, “The EIB Group Investment Survey 2025/2026 shows that EU firms adapted well to rapid technological advancement and the demands of the green transition, as well as sharp rises in U.S. tariffs.” The comprehensive study gathered data from approximately 13,000 companies during a four-month period spanning April through July of the previous year.
Last July, trade negotiators from Washington and Brussels reached an agreement establishing a 15% import duty on the majority of European products entering the US market. While this rate represents a significant reduction from initially proposed levels, it fell short of European hopes for eliminating tariffs entirely.
The survey noted, “When the United States raised tariffs, American firms expressed more concern than their EU counterparts. So far, the impact of tariffs has largely been absorbed by U.S. importers, with the effect remaining manageable for EU exporters.”
Despite success in handling external trade challenges, European businesses face significant hurdles closer to home. The study found that 62% of companies within the EU encounter difficulties when attempting to sell their products in other member nations, primarily due to conflicting national regulations across the 27-country union.
The research suggests substantial economic benefits could result from addressing these internal obstacles. “Removing these barriers could boost the ratio of firm investment to assets by 10%, with even stronger gains for intangible investment,” according to the report.
These conclusions align with previous research conducted by the International Monetary Fund, which determined that regulatory inconsistencies within the EU create trade barriers equivalent to imposing a 44% tariff on goods and a 110% tariff on services.
