COINOTAG News, May 24: In a surprising statement, former U.S. President Trump has announced an intent to discontinue negotiations for a new trade agreement with the European Union. He proposes to impose tariffs as high as 50% on EU imports unless companies, including major players like Apple and Samsung, agree to relocate their manufacturing operations to the United States. Additionally, a 25% tax is anticipated to take effect by the end of June, aimed at encouraging domestic production.
The EU has voiced its commitment to dialogue but firmly rejected any form of unilateral threats. Meanwhile, Japan is striving for a consensus with the U.S. prior to the impending G7 summit, seeking to avoid repercussions from the tariffs. Analysts at Bitunix highlight this development as indicative of a shift towards a more protectionist stance in U.S. trade policy, likely reshaping the global manufacturing landscape and increasing market volatility.
In light of these developments, investors are urged to adopt a cautious trading strategy, particularly regarding volatile altcoins. Given the current uncertainties in the market, it’s essential to closely observe upcoming shifts in U.S. policy and the reactions from both the EU and Japan in the week ahead, as these factors will serve as critical indicators for future market movements.