BERLIN (Reuters) – New tariffs planned by U.S. President-elect Donald Trump could cost Germany 1% in economic output if they come into effect, Bundesbank President Joachim Nagel said in an interview with Die Zeit newspaper published on Wednesday.
“If the new tariffs actually materialise, we could even slip into negative territory,” said Nagel, with Germany already facing weak growth this year and next.
Nagel, who sits on the governing council of the European Central Bank, also expressed concern over the German job market outlook, telling Die Zeit: “The jobs that we are losing in industry may not be replaced as easily as before by new jobs in the service sector.”
(Writing by Rachel More, Editing by Miranda Murray)
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