European Companies Eye Acquisitions in the U.S. Despite Ongoing Trade Tensions

Despite escalating trade disputes between the U.S. and Europe, interest from European companies in acquiring American firms remains strong, according to investment bank JPMorgan. At the same time, more U.S. companies are beginning to look toward Europe for strategic opportunities.

Interest Remains High Despite Trade Disputes

According to JPMorgan, European companies are actively seeking acquisitions in the United States, even amid rising uncertainty surrounding tariffs and trade policies. John Richert, who leads JPMorgan’s mid-market investment banking division in the U.S., says the flow of interest hasn’t slowed.

“On average, we get three to four calls per week from European colleagues saying, ‘I have a client who’s looking to invest $300 to $800 million in the U.S. Can you share any acquisition opportunities?’” Richert said. “That momentum has not let up, despite the uncertain environment.”

He notes that a presence in the United States continues to be seen as a safeguard for many European firms, especially as trade tensions evolve. Establishing or expanding operations in the U.S. is viewed as a way to hedge against instability in international markets, particularly those impacted by shifting tariff policies.

The U.S. Remains an Attractive Market

One of the key factors keeping the U.S. appealing to international investors is its sheer market size and long-term growth potential. Even amid political and economic turbulence, the U.S. remains a strategic destination for business expansion.

But the trend is not one-sided. Richert adds that American companies are also increasingly turning their attention to Europe, particularly in sectors like defense and infrastructure, where European countries are seeing renewed government investment and modernization.

U.S. Firms Also Targeting European Markets

The massive investment programs being rolled out across Germany and other European nations are making the continent more attractive to U.S. investors. For these companies, entering the European market offers a form of diversification and protection against volatility in their domestic markets.

However, many of these expansion plans are currently on hold. Companies on both sides of the Atlantic are closely watching interest rate developments, with some hesitant to move forward until rates show signs of stabilizing.

Strategic Moves in a Shifting Global Landscape

This dual movement — European companies heading west, and U.S. companies looking east — reflects a broader trend of cross-border investment as businesses seek stability and growth amid a changing geopolitical and economic landscape.

As international tensions and macroeconomic pressures continue to reshape global markets, strategic acquisitions remain a key tool for firms aiming to expand their reach and safeguard their future. For now, the appetite for transatlantic deals shows no sign of slowing down.