Austria issues warning to Republican states over Trump tariffs

Austria issues warning to Republican states over Trump tariffs

"We have to hit Republican states and we have to hit Donald Trump's friends," a top European official told his colleagues.

'This is new territory': How Trump's new tariffs could hit Austria hard

New tariffs from the US could hit Austria’s exports and deepen the economic downturn. Here’s how - and who’s likely to feel it first.

According to Wifo's calculations, the tariffs introduced on Thursday night of 20 per cent on all EU products will additionally reduce domestic GDP by 0.35 per cent and reduce exports by 1.4 per cent. Europe must now "self-consciously appear" against the US, says Minister of Economics Wolfgang Hattmannsdorfer.

Both the EU and China are preparing a response to US tariffs. European and US exchanges closed with large losses. Canada responds with tariffs on US cars

Even before his election Donald Trump had threatened with an XXL tariff package. Now he is making his threats come true, to the detriment of all, including the Americans themselves. Austria's prosperity depends on open borders and markets.

Economic experts agree that Trump's tariffs are deepening the recession in Austria. The impact on prices and consumers is still controversial.