Tariff war brewing: Exporters Club warns of devastating impact of Trump's tariffs

 

The Club of Exporters and Investors has expressed its deep concern at the imminent entry into force of the new tariffs imposed by the Trump AdministrationThe entity warns that these protectionist measures, which directly affect Spanish and European exports, could have a significant negative impact on global economic growth and trigger an inflationary spiral.

 

"These measures could significantly reduce global economic growth "and increase inflation, harming both consumers and productive sectors," he says. Antonio Bonet, president of the Exporters Club.

 

The Club of Exporters and Investors has stressed that the imposition of these tariffs will cause a contraction in the volume of international trade, which will weaken the contribution of foreign trade to the growth of the global Gross Domestic Product (GDP).

 

In the case of Spain, the consequences could be especially serious, as the country faces specific risks arising from the 25% tariffs imposed on steel and aluminum, among other products. Despite the fact that The United States maintains a trade surplus with Spain close to 10.000 billion euros in the last fiscal year, the application of these tariffs could severely harm key sectors of the Spanish economy.

 

"Spanish exports to the US could fall by up to 25%, with losses of around 4.300 billion euros and an effect on Spanish GDP of slightly less than 0,3%," explains Antonio Bonet.

The sectoral impact would be uneven, particularly affecting Spanish exports of machinery and electrical equipment, chemical and pharmaceutical products, the metallurgical industry, and the agri-food sector. Particularly critical would be the wine sector, where the possible imposition of 200% tariffs could practically expel Spanish wine from the US market.

 

In addition, the imposition of high tariffs by the United States on many countries will also cause a trade diversion effect. Products from third countries such as Japan, Korea or Vietnam that were previously exported to the United States will now try to be sold within the EU itself or in third countries, displacing Spanish and European exports or local production.

 

The Club of Exporters and Investors calls for urgent diplomatic action, urging Brussels and national governments to intensify efforts to reach agreements that avoid a trade escalation.

 

"A tariff war between the two blocs could trigger an economic recession in the EU, which is Spain's main customer, and therefore further reduce total Spanish exports," Bonet warns.

The entity has proposed a series of constructive measures for negotiation, including mutual tariff reductions, exploration of strategic defense-related agreements, and review of sensitive issues such as fines against US technology companies and the "digital tax".

 

The Club has also raised the possibility of reduce European tariffs in specific sectors such as cars, sports shoes or plastics, and to soften sanctions against North American technology companies for abuses of dominant position.

Finally, the Club of Exporters and Investors has reaffirmed its commitment to the sustainable development of international trade and has emphatically rejected any protectionist policies that jeopardize global economic well-being.