Description: Statements from Ursula von der Layen, Justin Trudeau, Olaf Scholz and South Korean effective President Choi Sang – Mok overwhelmed the media. Their pledges were aimed at Trump’s imposition of 25% of tariffs on aluminum and steel products for all countries. According to the statements from the leaders, the tariffs would only cause severe disarrangement in global industrial trade and significantly raise the levels of inflation globally. The leaders collectively stated that Trump’s tariffs would be responded in kind, while the EU leaders called upon a unified front which would guarantee Europe’s economic stability.
Impact: Trump’s tariffs are expected to cause severe disarrangements in the global economic flow as the US is an integral part of the global economy. Coupled with Trump’s unilateral, assertive and conditional foreign policy, allies such as Canada, Europe and South Korea should jointly approach the apprehension of alternative trade and energy solutions. Trump would further seek to politically blackmail and condition US allies into working in favor of sole US interests which could cause disintegration of important economic, political and military alliances. If the Trump administration doesn’t reproach its foreign policy from a different point of view significant geopolitical shifts could be expected which in turn would impact the US’ global stance on multiple fronts.