The customs duties announced by US President Donald Trump yesterday Wednesday threaten to deal a "major blow" to the global economy, European Commission President Ursula von der Leyen warned today, stating that the European Union is "ready to retaliate" against these measures.
The consequences will be very serious for millions of people around the world, the President of the Commission stressed, emphasizing that all businesses will suffer in particular.
Ms. von der Leyen added that the EU, in addition to being ready to react, is already preparing further packages of measures to defend its interests.
He assured that the EU will demonstrate a united stance and insisted that the Union is the strength of its member states. He promised that the EU will stand by those affected.
Moreover, the Chairman of the European Parliament's Trade Committee, Bernd Lange, warned that the new customs duties announced by the US President will have very serious consequences, especially for the average citizen.
Mr. Trump may have spoken of a “liberation day,” but from the perspective of the average citizen it is probably more likely to prove to be an “inflation day,” Mr. Lange commented.
"The impact of a trade war will hit American consumers hardest, with increased costs and inefficiencies in production and processes," he noted.
The German Social Democrat politician described the measures announced by Donald Trump as unjustified and disproportionate, warning that there could be further escalation and economic recession, both in the US and globally.
He also expressed concern about the consequences on the investment climate, citing the turmoil in the capital markets.
According to Mr. Lange, a unified response is required from the countries affected and the European Union must examine as soon as possible what are the best tools at its disposal to handle the new situation and convince the US to negotiate — and in any case not to back down and defend its sovereignty, he added.
Source: KYPE
