Trump Tariffs: "They Strengthen Deglobalization, Uncertainty Remains"

Economist Tasos Yasemidis told the Cyprus News Agency (CYPE) that the tariffs imposed by the US are strengthening deglobalization and may lead to an increase in the prices of some goods. He also stated that the EU-US agreement is lopsided for the EU.

Mr. Yasemidis emphasized that the new Trump tariffs are causing problems in the supply chain and that the strengthening of the euro against the dollar is burdening the EU, making European products more expensive.

Specifically, he mentioned that uncertainty remains, as many agreements have not been finalized, while the announcement by US President Donald Trump to impose tariffs on a large number of countries is causing reactions and problems in the supply chain.

Regarding the EU-US agreement, Mr. Yasemidis said that the current trade agreement seems to deviate from the EU's philosophy, which has invested in promoting free trade and multilateral cooperation.

Furthermore, he noted that Europe needs new policy tools and institutional renewal to negotiate as an equal partner in a competitive environment, while returning to protecting industrial potential does not mean moving away from free trade, but adapting to the new reality.