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01:21
Germany: Germany predicts GDP drop of 0.1 pct due to US tariff increase
An economic research institute in Berlin Saturday predicted German GDP will decline by 0.1 percent this year, with losses likely to increase in subsequent years if U.S. President Donald Trump imposes a 50 percent tariff on all imports from the European Union (EU). Trump accused the EU on Friday of "taking advantage of the United States on trade" and being "very difficult to deal with" on his social platform Truth Social, and announced that he is "recommending a straight 50 percent Tariff on the EU, starting on June 1, 2025." The German Institute for Economic Research said the imposition of 50 percent tariffs on EU products will cost the German economy about 200 billion euros by the end of 2028, while losses could increase to 250 billion euros if the EU imposes retaliatory tariffs. The institute said that the United States would also be affected by its own tariff policy due to its reliance on certain German imports and difficulty in finding alternatives. SHOTLIST: FILE: Washington D.C., USA - Date Unknown 1. Various of White House; Brussels, Belgium - May 6, 2025 2. Various of European Parliament building, flags of EU, members, EU logo; FILE: Berlin, Germany - 2021 3. Various of Reichstag building, German national flags; FILE: Frankfurt, Germany - Date Unknown 4. Various of Euro sign; FILE: Germany - March 25, 2022 5. Gas station; 6. Driver pumping gas; FILE: Berlin, Germany - Nov 24, 2021 7. Trams running; 8. Various of pedestrians; Bremen, Germany - May 21, 2025 9. Various of port scene, facilities, vessels; 10. Aerial shots of vehicles to be exported at port. [Restrictions: No access Chinese mainland]
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