Trump's Proposed Tariffs Threaten Global Economic Stability
The potential re-election of Donald Trump raises concerns over a global trade war, with significant implications for economies worldwide.
- Trump plans to impose tariffs of 10-20% on all imports and 60% on Chinese goods, aiming to boost U.S. manufacturing.
- The Monetary Fund warns that a global trade war could shrink world GDP by up to 7%, equivalent to the economies of France and Germany combined.
- Germany, heavily reliant on exports, could see a severe economic downturn, with potential GDP declines of up to 1.5% by 2028.
- Economists express concerns that increased tariffs could lead to higher inflation and disrupt global supply chains.
- Trump's tariff proposals face criticism for potentially violating existing trade agreements and sparking retaliatory measures from U.S. trading partners.