Europeans at risk being 'crushed' by Trump's policies: French prime minister

French Prime Minister Francois Bayrou warned Monday that France and the EU could be "crushed" if they fail to react to the policies announced by US President-elect Donald Trump, who will be sworn in later today.

"The United States has decided on an incredibly dominating policy through the dollar, through industrial policy, through the capture of all research and the capture of investments," Bayrou said during a New Year's address to municipal staff in Pau, where he still remains mayor after becoming prime minister.

"If we do nothing, we will be dominated, crushed, marginalized. This decision which is up to us, French and Europeans, because it is impossible without Europe, is the recovery," he added.

Bayrou said France and Europe face two significant challenges on the international stage, pointing to the policies of the US and the growing economic power of China.

He highlighted China's trade surplus exceeding $1 trillion in December, stressing the need for coordinated action.

"The inauguration of Donald Trump places us before our responsibility," Bayrou said.

"France and Europe are today facing two challenges, American and Chinese policies," he added.

Calling for collective recovery efforts to counter the emerging global threats, he said: "France and Europe cannot remain passive in the face of these challenges."

Bayrou's warning comes as Trump is about to assume office as the 47th US president, marking the start of a term expected to bring significant policy shifts.