Trump's EU import tariffs could cause global damage: 'Europe could fall into recession'

President Trump has once again escalated international trade tensions by threatening to impose a 50% tariff on all goods from the European Union, effective next week. Whether this is a negotiation tactic, a serious threat, or pure frustration remains unclear. However, the potential consequences are significant, as reported by The New York Times.

The announced measure is substantial, far exceeding the previously proposed 20% 'reciprocal' tariff on EU goods, which was ultimately not implemented. Analysts suggest the announcement is primarily aimed at pressuring Europe, a region Trump has shown little appreciation for so far.

ING chief economist Carsten Brzeski warns of 'an undesirable combination of higher inflation and slower growth' in the US. Europe could slide into a recession, and global growth could come under pressure.