The U.S. "reciprocal tariffs" may cause Germany to lose €290 billion

A recent research report released by the German Institute for Economic Research indicates that within the next four years, the United States' "reciprocal tariff" measures could result in a loss of €290 billion for Germany and €1.1 trillion for the European Union. The report states that the so-called "reciprocal tariff" measures from the U.S. pose a risk of a global trade war, which will have widespread negative impacts on the global economy. According to the institute's calculations, the "reciprocal tariffs" will lead to a cumulative direct loss of approximately €200 billion for the German economy between 2025 and 2028, equivalent to an average annual GDP loss of about 1.2%; considering retaliatory measures from trade partners, the total economic loss for Germany will expand to €290 billion. For the European Union as a whole, the cumulative loss over four years could reach as high as €1.1 trillion