The duties on foreign goods imposed by US President Donald Trump do not protect the American market, but only harm its economy. This opinion was expressed by François Villeroy de Galhau, Governor of the Bank of France (which acts as the Central Bank).
“Protectionism does not work. This means that the rate of economic growth is declining and inflation is rising,” he said on RTL radio.
De Galhau recalled that in January, when Trump became president, analysts predicted that the US economy would grow by 2.5% in 2025, but now they are citing a figure of 0.1%. “Some even expect a recession in the US,” the head of the Bank of France noted. According to him, the US administration’s policy harms not only the American, but also the global economy. At the same time, according to the economist, Europe suffered less than the United States: in the next two years, experts do not expect a jump in inflation in the European Union, but the rate of economic growth will slow down, although it will not lead to a recession.