Trump's customs alarm: EU and Canada are planning massive countermeasures!

Trump's customs alarm: EU and Canada are planning massive countermeasures!

Krone AT, Österreich - President Donald Trump has again caused excitement with his latest announcement. From April 2, tariffs are to be collected on all agricultural imports, as Trump cynically reports on social media. In response to his repeated threats that already contain punitive tariffs on goods from Mexico, Canada and China, the international community is under pressure. The exact effects of the announced tariffs, which could also be important for European exports, are still unclear, but is already expected to resist affected countries. In an earlier step, Trump threatened to raise 25 percent tariffs on imports from the EU, which in particular could endanger key industries such as the German automotive and chemical industry, reported Deutschlandfunk .

An impending trade conflict is in sight. Interviews with young entrepreneurs show that these tariffs could possibly lead to higher prices for consumers in the USA, which also heats up the inflation rate. Economists predict that the tariffs could reduce the tariffs in the worst case and that the growth of the US economy could slow down. Countries such as Canada and Mexico are particularly concerned because they are most affected by the new customs measures. Prime Minister Justin Trudeau from Canada and the Mexican President Claudia Sheinbaum have already announced counter-tariffs to counteract the US measures. According to Krone , the affected industries are in an unsafe location, since sales and therefore many jobs are at stake. Historically, however, the nations often drift into similar tariffs and trade wars, which could ultimately destabilize the markets.

reactions and forecasts

The European Union has already reacted to Trump's tariffs. EU Commission Vice Stéphane Séjourné announced that Europe would react "immediately and determined". Experts warn of an escalating trade conflict that could disturb the global economic exchange. High import duties could not only put pressure on the economy in America, but also have significant consequences for German companies that produce in Mexico and Canada and are dependent on the USA. Also Deutschlandfunk describes the risk of a negative reaction on the part of the EU, which could possibly impose its own tariffs on US goods, while business experts should be punished by its negotiating strategies in order to to avoid an open conflict.