EU said it will reply ‘firmly and immediately’ to ‘unjustified’ trade barriers, signaling it’s ready to retaliate against levies

Summary

Donald Trump has announced plans to impose 25% tariffs on the European Union, claiming the bloc was “formed to screw the United States.”

While details are pending, he suggested the levies would target cars and other imports. The EU, a major U.S. trading partner, has vowed immediate retaliation, with potential tariffs impacting $29.3 billion in exports.

French President Emmanuel Macron had attempted to dissuade Trump, urging focus on China instead.

Critics, including economists and conservative media, warn the tariffs could harm the U.S. economy.

  • turnip@lemm.eeEnglish
    21·
    13 hours ago

    Can someone explain to me why this is worse than Europes VAT tax?

    According to an International Monetary Fund (IMF) study, any nation that switches to VAT initially feels the negative impact of reduced tax revenues. In the long run, however, the study concluded that VAT adoption has in the majority of cases increased government revenue and proved effective.

    It seems to be proven quite effective, and Europe still has them, so why is Trumps worse/better than a VAT?