Concerns Rise Over US Trade Policies Impacting Europe

Donald Trump's return to the White House is raising concerns about a potential new trade war, particularly impacting Europe, which may face significant economic challenges due to proposed tariffs. Analysts predict that Trump's isolationist trade policies could cost the Eurozone approximately 0.5% of its GDP, while specific sectors in Malaysia could benefit from diverted trade. Experts are advising Europe to prepare for retaliatory measures against U.S. tariffs, suggesting targeted responses rather than blanket tariffs. The U.S. stock market has reacted positively to Trump's pro-business agenda, but European markets are already feeling the strain. Economists stress the need for Europe to adopt a riskier investment strategy to compete with U.S. growth. Overall, the global economy could face turbulence as the U.S. shifts towards more protectionist policies under Trump's leadership.