EU threatens tariffs on US cars if talks with Washington fail

Romania's decision to cancel a presidential election due to alleged Russian interference has propelled ultranationalist George Simion, who secured 41% of the votes in the May 4 rerun, into a historic lead over pro-EU mayor Nicuşor Dan. This election has intensified political and economic instability, with Prime Minister Marcel Ciolacu resigning and the national currency depreciating. As Simion prepares for the May 18 run-off, he aims to become the first far-right president in Romania, capitalizing...

Most European companies in China report experiencing or anticipating positive effects from the US-China trade war, as higher Chinese tariffs make American imports less competitive. A survey by the European Union Chamber of Commerce in China revealed that while 19% of companies are already benefiting from increased business, 36% expect future gains, although overall economic uncertainty continues to impact profitability. Despite the trade tensions, many European firms are increasing local sourcing in China, indicating a...

Three years ago, US west coast ports faced congestion due to post-Covid disruptions, but now they are emptying as Donald Trump’s tariffs disrupt cargo schedules from China. While some believe these tariffs could harm trade and the economy, historical evidence suggests that the US economy can absorb shocks and recover swiftly, as seen post-Covid. The critical concern lies in whether Trump will continue to escalate tariffs, potentially leading to long-term damage akin to Brexit, or...

EU capitals are urging Brussels to delay retaliation against Donald Trump’s tariffs until the NATO summit in June, prioritizing a security deal with the US. Diplomats recommend pausing significant defence investments and avoiding provocative discussions on trade to minimize tensions with Trump, who demands increased European defence spending. As the summit approaches, officials are focused on finding a credible plan for Europe to take on more defence responsibility, reflecting concerns over potential clashes reminiscent of...

The European Commission is under pressure from member states, especially Ireland, to require social media platforms to combat online payment scams that defrauded Europeans of €4.3bn in 2022. A proposed amendment would mandate Big Tech to verify the legitimacy of advertisers, allowing only registered financial service providers to post ads, but the Commission is hesitant, citing conflicts with existing regulations. Despite support from about half of EU countries, Poland's suggestion to improve communication between payment...

SummaryIn response to Russia's invasion of Ukraine, Deutz, a historic German engine manufacturer, pivoted to defense, anticipating that 2% of its projected €2bn annual revenue will now come from military contracts. This shift reflects a broader trend among Germany's Mittelstand companies, as they embrace rising defense spending amid economic challenges, with firms like Alzchem reorienting from agricultural supplies to ammunition production. The move marks a significant cultural shift in Germany, where arms manufacturing has long...