European Central Bank President Christine Lagarde has pointed out the need for Europe to move towards economic independence as US President Donald Trump prepares to introduce a new wave of tariffs.
Trump has announced plans to impose reciprocal tariffs on a wide range of trade partners on Wednesday, which he has coined “Liberation Day”, saying the world’s top economy has been “ripped off by every country in the world”.
Lagarde told France Inter radio that Europe faces an “existential moment”.
“He calls it ‘Liberation Day’ in the United States. I see it as a moment when we must collectively decide to take greater control of our destiny and I think it is a step towards independence,” she said.
“To put ourselves in a position to negotiate effectively, we have to show that we won’t just roll over,” Lagarde added, as the European Union readies its response to the US tariffs.
The ECB estimates that Trump’s trade war could slash the eurozone’s economy by 0.3 percent in its first year — and by 0.5 percent if the EU retaliates.
“A trade war creates only losers,” Lagarde said.
AFP
ALSO READ TOP STORIES FROM VERILY NEWS
