Donald Trump’s Tariffs: Risks for the Global Economy

US President Donald Trump is set to impose new tariffs that could seriously damage the global economy. According to estimates, the possible consequences of these measures will depend on several factors, such as the scale of their implementation, the duration and effectiveness of international negotiations.

This was announced by Christine Lagarde, President of the European Central Bank (ECB), during her statement published in The Guardian. Lagarde noted that the introduction of new tariffs could have global negative consequences for the economy, and emphasized that the scale and duration of these consequences will vary depending on which products these restrictions are aimed at and how long they last.

Christine Lagarde noted that even countries that initiate tariff escalation often face negative consequences for themselves. In such situations, negotiations often take place between the parties, which allow to reduce the level of tension and, as a result, partially lift the restrictions. However, in her opinion, the escalation of trade tariffs, even with such an approach, harms the entire global economic system.

Among the potential negative effects of the introduction of tariffs, Lagarde noted an increase in prices for consumer goods, which could lead to inflation. This, in turn, could affect demand and overall economic activity, which would ultimately affect the development of countries with both high-level economies and emerging markets.

She also emphasized that international trade wars could slow down the growth of the global economy, creating additional difficulties for businesses and consumers. However, Lagarde believes that in order to reduce risks, it is important to develop diplomatic channels to resolve conflicts arising from customs tariffs.

Lagarde's warning becomes relevant against the backdrop of the continuation of the trade restrictions policy pursued by the Donald Trump administration. Participants in the international economic arena are calling for a more constructive approach to trade issues in order to avoid escalation and ensure stable economic growth for all countries.