7 April | Euro

Greek Central Bank head warns Trump’s tariffs may cut eurozone GDP growth by up to 1%

Greek Central Bank head warns Trump’s tariffs may cut eurozone GDP growth by up to 1%

Greek Central Bank Governor Yannis Stournaras told the Financial Times that US tariffs risk shaving 0.5–1% off eurozone GDP growth. Stournaras argued that US trade policies are creating unprecedented uncertainty for the global economy. Reuters reported his remarks, citing the original interview.

The European Union is considering retaliatory tariffs on $28 billion worth of US imports. These measures would respond to the 25% duties the States imposed on steel, aluminum, and automobiles from the EU.

According to European Central Bank (ECB) estimates, the American tariffs alone could reduce the eurozone’s GDP growth by 0.3% in the first year. If the EU enacts countermeasures, the impact could rise to 0.5%.

Meanwhile, Reuters reported that EU inflation dipped to 2.2% in March, down from 2.3% in February. This decline strengthens expectations that the ECB may cut interest rates on April 17.

The tariffs imposed by Trump on April 2, including a 10% prime rate on all US imports, target about 60 countries. Bilateral trade between the US and the EU in 2024 totaled $365.6 billion in imported American goods to the EU and $585.7 billion in European exports to the States.

Elena Berseneva MarketCheese
Period: 07.07.2025 Expectation: 1900 pips
SPX may retreat to 5,980 following all-time high
Today at 10:08 AM 19
Gold sell
Period: 04.07.2025 Expectation: 5000 pips
Gold's six-month uptrend is under threat as prices test 3250 level
Today at 09:30 AM 55
Period: 04.07.2025 Expectation: 750 pips
AUDCAD rises amid easing geopolitical tensions
27 June 2025 79
Period: 03.07.2025 Expectation: 800 pips
Weak dollar pushes GBPUSD to new highs
27 June 2025 61
Period: 04.07.2025 Expectation: 500 pips
Selling EURUSD down to 1.1640
27 June 2025 49
Period: 04.07.2025 Expectation: 224 pips
Selling natural gas with target of 3.335 amid colder weather and oversupply
26 June 2025 72
Go to forecasts