Europe is bracing for the impact of Donald Trump’s presidency, with many economists warning that his protectionist policies could trigger a global trade war. The European Union is particularly vulnerable to Trump’s threats to impose tariffs on imports, as it exports heavily to the United States. The European Commission has already warned that a trade war could cost the EU economy billions of euros and lead to job losses.
The uncertainty surrounding Trump’s policies has already had a negative impact on European businesses, which are reporting declining investment and exports. The euro has also fallen sharply against the dollar in recent weeks, making European goods more expensive for US consumers.