Suche
Mein Konto
Trade war threatens: tariffs fuel inflation and prices!
USA imposes tariffs on imports from Canada, Mexico and China. Counter-tariffs are threatening, global growth and inflation are at risk.
Trade war threatens: tariffs fuel inflation and prices!
The international trade landscape is becoming increasingly tense due to new punitive tariffs and countermeasures. Canada has imposed counter-tariffs of 25 percent in response to the US's announced tariffs. This was officially confirmed by the Canadian government.
Mexican President Sheinbaum has instructed Economy Minister Ebrard to develop a plan for counter-tariffs. China has also reacted to the development and plans to file a complaint with the World Trade Organization.
Additional tariffs and possible trade wars
Trump, the former president of the United States, has ordered tariffs of 25 percent on Canadian and Mexican imports and an additional 10 percent on goods from China. These measures could lead to a new trade war that could slow global growth and fuel inflation. Experts warn that the threatened tariffs have been increasing for over a decade and are threatening prosperity and jobs.
In addition, it is predicted that there could be price increases for many products in 2025, which will be due to the looming trade war, particularly fueled by Donald Trump. These tariffs could also increase the rate of inflation and dampen demand, which could have serious economic consequences.
According to a current analysis by the German Institute for Economic Research (DIW), Germany could suffer billions in losses amounting to 127 to 180 billion euros as a result of US import tariffs. In connection with the tariffs, Trump is also considering introducing a universal tariff of 10 to 20 percent on all imported goods.
In Europe, the EU has already imposed tariffs on electric car imports from China, whereupon China responded with its own import tariffs on European brandies. The EU is also threatening tariffs on large combustion cars from the region.
The possibility of averting the trade war exists if states reconsider their positions. The EU could contribute to this by, for example, importing more liquid gas from the USA. Still, it remains to be seen whether everyone involved is willing to make concessions to avoid further conflict.
The current situation shows how fragile the international trade order has become and what far-reaching consequences current trade decisions could have for the global economy.