Trump’s Tariff Policy Threatens EU Industry and Jobs, Says Italy’s Confindustria

03 Mar, 2025

U.S. President Donald Trump’s plan to impose a 25% tariff on European Union imports, including cars, is drawing sharp criticism from Italy’s business lobby, Confindustria. The organization warns that these tariffs would significantly harm European industries and jobs, describing the policy as an effort to "deindustrialize the continent." Confindustria’s president, Emanuele Orsini, has called for the EU to take extraordinary measures to protect its economy, emphasizing the dramatic consequences the tariffs could have on trade and employment.

Trump’s administration argues that the tariffs are “reciprocal” and necessary to balance trade relations, but European leaders see them as a direct attack on the EU’s economy. The European Commission has responded by pledging to react “firmly and immediately” against any unjustified trade barriers.

Bank of Italy Governor Fabio Panetta has also warned that full implementation of Trump’s tariffs, along with potential EU retaliatory measures, could reduce EU economic growth by 0.5 percentage points. Germany and Italy are expected to be hit the hardest, given their reliance on manufacturing and exports.

With the U.S. elections approaching, Trump’s tariff threats risk triggering a major transatlantic trade conflict, adding uncertainty to global markets. European policymakers are now under pressure to formulate a strong response while minimizing damage to their economies.

As tensions rise, businesses across the EU are bracing for potential disruptions, fearing job losses and declining industrial output. The situation underscores the fragile nature of international trade relations and the high stakes involved for European industries. If implemented, the tariffs could reshape global trade dynamics, forcing the EU to rethink its economic strategies in response to U.S. protectionism.

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