Germany's outgoing vice chancellor, Robert Habeck, has said Germany and the EU must do more to help themselves when it comes to innovation, infrastructure and new technologies amid the threat of US tariffs on European products under the Trump administration.

Habeck, who is also economy minister and the Green Party's top candidate for upcoming federal elections, told DW in an interview that a leading principle here should be that "the next Google has to come from Europe."

What did Habeck say about Trump's tariff threats?

Habeck, speaking of the prospect of trade conflicts with the US as Donald Trump takes the reins of power in Washington, said: "Europe is prepared, should the US impose tariffs," adding that he hoped that would not be the case. 

Europe, he emphasized, could impose "countermeasures that would affect the American economy, including the consumer sector," but said in his eyes that would be "the wrong way" to deal with Trump.

Habeck said the EU could join forces and "arm wrestle" with the US but suggested that it wouldn't help either side and that he would like to avoid such a situation.

Instead, he argued that more tax incentives and investments were needed to ensure that outdated infrastructure can be revitalized in order to grow the economy and produce the technologies of the future in Europe and Germany.

What did Habeck say about defense?

Asked about whether his call for 3.5% of GDP to be spent on German defense was a response to Trump's demand for NATO members to up their defense spending to 5%, Habeck said he was guided only by what was urgent and necessary.

He said that Germany had a "security problem" because too little had been invested in the armed forces — the Bundeswehr — and the country's defense and security capability in the past.

"If there is a problem, it has to be solved," Habeck said. "I think Trump takes a completely different approach."

"He just throws out some number or other, and if we were at 5% now, he would say 9. [...] That is not my way of thinking. It is simply necessary to do what has to be done, that is all," he added.

'Friendliness' as counterbalance to far right

When asked for his views on how best to tackle far-right parties such as the Alternative for Germany (AfD), which are currently enjoying considerable popularity, Habeck said success by democratic forces would "weaken the seductive power of right-wing populism."

"If people see that cooperation and peaceable policies are successful, even those who are undecided will come on board," he said.

"Politics is partly a kind of marketplace where success is always admired. So a progressive, democratic, liberal — I would say even a friendly — approach must always be more successful than the hate-filled approach of the [far-right AfD]," Habeck argued.

"That is what we are trying to promote, and the other parties will surely join in. [...] But there have to be more and more who work toward success rather than destruction."

The interview was conducted by DW's Michaela Küfner

Edited by: Natalie Muller