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Eurozone may offset reduced US exports through a 'slight' easing of internal trade restrictions, according to ECB economists

Eurozone may offset reduced US exports through a 'slight' easing of internal trade restrictions, according to ECB economists

101 finance101 finance2026/01/14 21:06
By:101 finance

ECB Economists Suggest Easing Internal Trade Barriers to Offset U.S. Tariff Impact

Economists from the European Central Bank have found that the eurozone could recover the economic losses caused by increased U.S. tariffs on European exports by slightly lowering trade restrictions within the European Union. Following recent tariff hikes introduced by President Trump, many European companies now encounter a 15% duty when exporting goods to the United States. According to ECB estimates, these higher tariffs are expected to decrease exports and reduce the eurozone’s gross domestic product by 0.7 percentage points by 2027. Nevertheless, a recent ECB report indicates that easing internal EU trade barriers could help compensate for these losses.

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