“Transatlantic trade reached an all-time high of 1.2 trillion euro in 2021, surpassing pre-pandemic levels by more than 10%.
* The United States remains the EU’s number one trading partner in services. Bilateral trade in services reached a record in 2021 and accounted for more than 500 billion euro.”
Tariffs will absolutely affect us.
Suspicious-Coffee20 on
After covid lots of produce went up because high cost. But a lot just went up to folow the market and make more profit. This would be the same. European economy is not indépendant of north american’s.
_CatLover_ on
the researchers must be on putins payroll
VigorousElk on
Paywalled. Please provide the article text in the comments, or don’t post articles like this.
Infinite-Wishbone897 on
Mango! America’s elected imbecile! And then there is Madam von der Leyen….sharp and cosmopolitan. I should love to meet Madam von der Leyen. Mango…not so much. No one wants to have to reason with a fool.
MasterGenieHomm5 on
Yeah, I’ve too thought that the European impact of US tariffs won’t be too harsh.
The primarily affected nation will be the US itself because it would be tariffing the world, while its partners would lose only US trade. Possibly the EU and other US partners could just trade more with each other, reducing the impact of Trump’s tariffs. The EU could even gain export share in the US if other countries like China or NAFTA partners are tariffed higher. Also domestic US manufacturers will become less productive themselves cause of worse access to intermediate goods which are often part of the production process. Thus tariffed EU goods can still be competitive. And ultimately, the EU trades a lot with the US, but not THAT much, plus it has finished a variety of trade agreements in recent years which are probably not exploited to their full potential. Really the biggest problem for Europe may be Trump tanking the US economy, which would inevitably affect the world. But Trump has committed to even more historic deficits so the US has the stimulus.
However, things cab go uglier for Europe IF Trump focuses on tariffing specifically the EU, possibly to please Putin.
vergorli on
ok then, lets fucking go. I will apply at the tariff department in Hamburg when the demand rises. the pay is pretty dope for a state service salary. (40k€ and no tax)
TheKingofSwing89 on
As an American, we will suffer together!
FancyDiePancy on
Trump is trying trade war with Mexico and Canada first and once he gets trade deal of his liking then he moves the war to other countries, perhaps EU.
ProfessionalAd352 on
This goes against the narrative, must downvote.
aigars2 on
Just do it. I want the EU stocks to high rocket.
Happy_Boysenberry150 on
Whoever taught trump the word “tariff”, should be slapped!!
RecklessPrint on
# Trump tariffs would barely affect EU trade, researchers say
The return of Donald Trump to the White House has EU policymakers worried. One of those worries is trade: Trump has vowed to impose a 60 percent tariff on imports from China, 25 percent on imports from Canada and Mexico, and 10 percent on the rest of the world, including the EU. He has also said he would impose a 100 percent tariff on cars and other vehicles.
German carmakers will be nervously watching this, but at first glance the EU seems to comes off lightly.
The reason many are concerned is that these tariffs could quickly escalate into a trade war.We should “negotiate, not retaliate,” European Central Bank president Christine Lagarde told the Financial Times on Thursday, and prevent a “tit-for-tat” trade war “where nobody is a winner.” A trade war could push an already sluggish eurozone economy into “a full-blown recession,” warned James Knighley, chief international economist at the Dutch bank ING, shortly after Trump’s election, calling it “Europe’s worst economic nightmare come true.” The question is: would it be quite that bad? In all this talk about worst case scenarios, relatively little attention is paid to the fact that the impact on EU trade would likely be quite limited.A new study by the Dutch Bureau for Economic Policy Analysis suggests that if Trump implements all his planned tariffs, it would primarily affect US imports (27 percent) and exports (20 percent). Dutch exports to the US would also fall by 20 percent. But because US trade only represents five percent of total Dutch trade, the impact on overall trade is just one percent. The effect on EU trade is only slightly higher at 1.5 percent. If Trump would decide to increase tariffs to 20 percent, this would still only reduce EU trade by 2.2 percent. Previously, research by Aurélien Saussay of the London School of Economics showed that Trump’s tariffs would reduce the EU’s GDP by minus 0.11 percent — significantly less than the minus 0.64 percent and minus 0.68 percent drops he forecasted for the US and China. Trump’s tariffs could still significantly alter global trade routes; an all out trade war where supply chains are weaponised is not covered in the analysis, and could result in far larger economic losses. “Our study doesn’t cover political and policy uncertainty,” Gerdien Meijerink, one of the report’s authors, told EUobserver. “We only looked at the effect tariffs would have on supply chains and trade.” These effects suggest that the proposed tariffs alone seem to have relatively limited impact. And it suggests EU trade may be more resilient than many policymakers fear. Part of this is because the tariffs do give US manufacturing a boost (the CPB predicts a 30 percent jump in cars and electrical appliances), but both consumers and exporters take a hit.The opposite is true in the EU and the Netherlands. The EU sees sharp drops in industries like vehicles (-6.1 percent) and pharmaceuticals (-4.9 percent). But EU and Dutch services such as consulting, software development, and financial services will benefit because US services will become more expensive, as tariffs increase consumer and producer prices, and also lead to higher wages.
These higher wages will make the American services sector less competitive compared to the EU. Meijerink also cautions against using retaliatory measures. These would “have little effect” on both the EU and the US economy “to increase prices and further restrict trade.”Targeted subsidies, tax incentives, or finding other sources of trade are a “more effective” way of dealing with tariffs than retaliatory actions, she said. Trump tariffs would barely affect EU trade, researchers say
capybooya on
The China tariffs alone would jack up prices on electronics worldwide, I’d assume?
14 commenti
As much as i dislike the goof, but this is classic EUropean arrogance.
[https://policy.trade.ec.europa.eu/eu-trade-relationships-country-and-region/countries-and-regions/united-states_en](https://policy.trade.ec.europa.eu/eu-trade-relationships-country-and-region/countries-and-regions/united-states_en)
“Transatlantic trade reached an all-time high of 1.2 trillion euro in 2021, surpassing pre-pandemic levels by more than 10%.
* The United States remains the EU’s number one trading partner in services. Bilateral trade in services reached a record in 2021 and accounted for more than 500 billion euro.”
Tariffs will absolutely affect us.
After covid lots of produce went up because high cost. But a lot just went up to folow the market and make more profit. This would be the same. European economy is not indépendant of north american’s.
the researchers must be on putins payroll
Paywalled. Please provide the article text in the comments, or don’t post articles like this.
Mango! America’s elected imbecile! And then there is Madam von der Leyen….sharp and cosmopolitan. I should love to meet Madam von der Leyen. Mango…not so much. No one wants to have to reason with a fool.
Yeah, I’ve too thought that the European impact of US tariffs won’t be too harsh.
The primarily affected nation will be the US itself because it would be tariffing the world, while its partners would lose only US trade. Possibly the EU and other US partners could just trade more with each other, reducing the impact of Trump’s tariffs. The EU could even gain export share in the US if other countries like China or NAFTA partners are tariffed higher. Also domestic US manufacturers will become less productive themselves cause of worse access to intermediate goods which are often part of the production process. Thus tariffed EU goods can still be competitive. And ultimately, the EU trades a lot with the US, but not THAT much, plus it has finished a variety of trade agreements in recent years which are probably not exploited to their full potential. Really the biggest problem for Europe may be Trump tanking the US economy, which would inevitably affect the world. But Trump has committed to even more historic deficits so the US has the stimulus.
However, things cab go uglier for Europe IF Trump focuses on tariffing specifically the EU, possibly to please Putin.
ok then, lets fucking go. I will apply at the tariff department in Hamburg when the demand rises. the pay is pretty dope for a state service salary. (40k€ and no tax)
As an American, we will suffer together!
Trump is trying trade war with Mexico and Canada first and once he gets trade deal of his liking then he moves the war to other countries, perhaps EU.
This goes against the narrative, must downvote.
Just do it. I want the EU stocks to high rocket.
Whoever taught trump the word “tariff”, should be slapped!!
# Trump tariffs would barely affect EU trade, researchers say
The return of Donald Trump to the White House has EU policymakers worried. One of those worries is trade: Trump has vowed to impose a 60 percent tariff on imports from China, 25 percent on imports from Canada and Mexico, and 10 percent on the rest of the world, including the EU. He has also said he would impose a 100 percent tariff on cars and other vehicles.
German carmakers will be nervously watching this, but at first glance the EU seems to comes off lightly.
The reason many are concerned is that these tariffs could quickly escalate into a trade war.We should “negotiate, not retaliate,” European Central Bank president Christine Lagarde told the Financial Times on Thursday, and prevent a “tit-for-tat” trade war “where nobody is a winner.” A trade war could push an already sluggish eurozone economy into “a full-blown recession,” warned James Knighley, chief international economist at the Dutch bank ING, shortly after Trump’s election, calling it “Europe’s worst economic nightmare come true.” The question is: would it be quite that bad? In all this talk about worst case scenarios, relatively little attention is paid to the fact that the impact on EU trade would likely be quite limited.A new study by the Dutch Bureau for Economic Policy Analysis suggests that if Trump implements all his planned tariffs, it would primarily affect US imports (27 percent) and exports (20 percent). Dutch exports to the US would also fall by 20 percent. But because US trade only represents five percent of total Dutch trade, the impact on overall trade is just one percent. The effect on EU trade is only slightly higher at 1.5 percent. If Trump would decide to increase tariffs to 20 percent, this would still only reduce EU trade by 2.2 percent. Previously, research by Aurélien Saussay of the London School of Economics showed that Trump’s tariffs would reduce the EU’s GDP by minus 0.11 percent — significantly less than the minus 0.64 percent and minus 0.68 percent drops he forecasted for the US and China. Trump’s tariffs could still significantly alter global trade routes; an all out trade war where supply chains are weaponised is not covered in the analysis, and could result in far larger economic losses. “Our study doesn’t cover political and policy uncertainty,” Gerdien Meijerink, one of the report’s authors, told EUobserver. “We only looked at the effect tariffs would have on supply chains and trade.” These effects suggest that the proposed tariffs alone seem to have relatively limited impact. And it suggests EU trade may be more resilient than many policymakers fear. Part of this is because the tariffs do give US manufacturing a boost (the CPB predicts a 30 percent jump in cars and electrical appliances), but both consumers and exporters take a hit.The opposite is true in the EU and the Netherlands. The EU sees sharp drops in industries like vehicles (-6.1 percent) and pharmaceuticals (-4.9 percent). But EU and Dutch services such as consulting, software development, and financial services will benefit because US services will become more expensive, as tariffs increase consumer and producer prices, and also lead to higher wages.
These higher wages will make the American services sector less competitive compared to the EU. Meijerink also cautions against using retaliatory measures. These would “have little effect” on both the EU and the US economy “to increase prices and further restrict trade.”Targeted subsidies, tax incentives, or finding other sources of trade are a “more effective” way of dealing with tariffs than retaliatory actions, she said. Trump tariffs would barely affect EU trade, researchers say
The China tariffs alone would jack up prices on electronics worldwide, I’d assume?