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Trumps tariff threats: A dangerous downward spiral? | To the Point

Threats, pressure, and rising intimidation: Europe is feeling the impact of President Donald Trump’s expanding global ambitions — even after the latest deals on Greenland and tariffs. As Washington applies open pressure on its long-time allies, a historic breach of trust is unfolding. The EU is trying to hit back with its own trade “bazooka,” but Europe’s search for new partners is faltering. The once-celebrated Mercosur agreement is now stuck in court, stalled after fierce resistance.

So what’s the right response to Trump’s strategy? Does Europe still have real leverage — or is it simply too weak and too dependent on the United States?

On To the Point we ask: “Tariffs as a weapon: Who holds the better cards?”

Our guests: Ulrike Herrmann, Business Editor, daily taz – Stormy-Annika Mildner is an economist and the Director of the Aspen Institute in Germany – Melissa Eddy is the Berlin correspondent for The New York Times – Professor Rolf Langhammer, Kiel Institute for the World Economy.

02:30 De-escalation in the EU–US tariff dispute?
03:30 The EU’s dependence on U.S. markets makes countermeasures difficult
04:40 U.S. markets prefer stability over a trade war
05:30 Would U.S. consumers be affected by new tariffs on EU goods?
06:55 Tariffs are unpopular among U.S. voters
08:35 Video: Europe’s tariff tools explained
10:25 The EU is not prepared for a full-scale trade war
12:20 How new tariffs could impact the U.S. economy
13:05 Why tariffs are the EU’s weakest weapon against the U.S.
13:40 Financial measures could be the EU’s strongest leverage
17:15 Video: Mercosur – a missed opportunity for Europe’s economy?
19:10 Mercosur talks reveal Europe’s deep divisions
20:15 A major setback: why the Mercosur agreement is now stalled
23:25 Europe’s large single market is a global advantage

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