Ethenea: Still no sign of global recession
The 25% import tariff on non-US cars and car parts appears to be just the beginning. On 2 April, the world's eyes will be on the US, where President Donald Trump has announced reciprocal tariffs in retaliation for trade barriers in other countries.
Luca Pesarini, Chief Investment Officer of Ethenea Independent Investors S.A., assesses the current situation:
'According to US Treasury Secretary Scott Bessent, the tariffs are focused on the 'Dirty 15' – the 15% of nations with particularly high trade deficits or barriers with the US. This includes the European Union, which has the second largest deficit of all US trading partners, just after China. Germany alone is responsible for around 40% of this deficit. The US government remains unpredictable. Although we do not expect the announced tariffs to be implemented across the board, fears of an escalation spiral remain high. We do not yet see any signs of a global recession, but we advise investors to proceed cautiously: We expect the volatile risk-on/risk-off environment to continue for some time.'
