Trump's Trade Delusions: The 15% Tariff and the Bigger Danger

Trump claims the EU pledged a $600 billion “gift” for his discretionary investment. This is a delusion; the EU made no such commitment. Despite this, Trump threatens to raise tariffs on the EU to 35%. While this would harm the EU, the impact may be less than anticipated due to the EU's relatively low dependence on the US market and its adjustments to existing tariffs. However, the underlying hubris and miscalculation in Trump's trade policy pose a far greater concern.