Belgium's Economy Faces Twin Challenge of Tariffs and Defense Spending

Belgium's economic growth is threatened by U.S. import tariffs and Washington's demands for increased defense spending. The foreign minister warns these challenges could impact Belgian businesses and citizens. Trump's recent tariff announcement on EU goods exacerbates the global trade tension, risking inflation and growth stalls.

Belgium is bracing for an economic slowdown as U.S. import tariffs loom, compounding the demand from Washington for higher defense spending. The country's foreign minister expressed concern over the potential impact on both Belgian companies and citizens.

Maxime Prevot highlighted that the tariffs would disrupt economic growth at a time when the United States is urging its allies to boost their defense budgets. This dual pressure, according to Prevot, could have significant repercussions on the nation's financial stability.

President Trump's announcement of a 10% minimum tariff on imports, with a 20% rate for EU products, escalates the global trade war. This decision threatens to increase inflation and hinder economic growth both in the U.S. and worldwide.

(With inputs from agencies.)