Eurozone growth threatened by global trade war
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Economists warn that the Eurozone's growth is threatened by a global trade war. US President-elect Donald Trump's promise to impose tariffs of up to 20% on US imports, with a potential escalation to 60% on Chinese goods, has raised fears of heightened protectionism. If enacted, these measures would likely trigger retaliatory actions from affected countries. The Eurozone, which maintains a significant trade surplus with the US, faces heightened exposure to these tariffs. Economists also warn of potential disruptions from China, which might flood global markets with cheap goods in response to Trump’s policies. Nearly 69% of FT poll respondents anticipate a US-EU trade conflict, while 81% expect Trump’s policies to weigh heavily on Eurozone growth.
