NewsFrance braces for trade war as Trump's tariffs challenge EU

France braces for trade war as Trump's tariffs challenge EU

- We are ready in this trade war - stated government spokeswoman Sophie Primas on Thursday, commenting on the US announcement of a 20% tariff on European Union products. She announced that in April, France will take steps in cooperation with the EU.

Donald Trump announced reciprocal tariffs
Donald Trump announced reciprocal tariffs
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- Trump "thinks he is the master of the world" - said the spokeswoman in an interview with broadcaster RTL. She explained that two waves of reactions to the US tariffs should be expected - the first, in response to the tariffs on steel and aluminium, will appear in mid-April, and the second is likely to occur at the end of the month and will concern a wider range of goods and services. We are also going to attack services. For example, online services, which are not taxed today but could be - said Primas.

The Élysée Palace earlier informed that President Emmanuel Macron would meet on Thursday with representatives of all national sectors that would suffer due to the announced US tariffs.

The French Federation of Wine and Spirits Exporters (FEVS) estimated that after the new tariffs take effect, the sale of French wine and spirits in the US will drop by at least 20%.

Immediately after Trump announced the tariffs, this decision was commented on by leaders of many countries, including Australia, Japan, China, the United Kingdom, and Italy.

The order signed by Trump on Wednesday imposes "reciprocal tariffs" of at least 10% on goods imported from abroad. In the case of goods from the EU, they will be 20%.

Reuters: The beginning of a global trade war

The tariffs announced by the US are intended to constitute half of the summed tariffs and non-tariff trade barriers applied by other countries. In the case of China, the tariffs will be 34% (this rate will be added to the previously announced 20% tariffs, so it will total 54%), Japan - 24%, India - 26%, South Korea - 25%. The universal 10% tariff rate is set to take effect on 5 April, while tariffs on individual countries will come into effect on 9 April.

According to Reuters, Trump’s introduction of tariffs is the start of a global trade war, which threatens to increase inflation and halt economic growth both in the US and globally.

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