French premier calls US tariffs 'catastrophe' for world

ISTANBUL

French Prime Minister Francois Bayrou warned on Thursday about the dangers posed by US President Donald Trump's decision to impose heavy import taxes on foreign-made goods.

"This decision is a catastrophe for the economic world. It is a huge challenge for Europe. I believe it is also a catastrophe for the United States and for American citizens," Bayrou said on the sidelines of a conference at the French Senate, according to the broadcaster BFMTV.

Bayrou said protectionist policies could have severe long-term consequences.

"The idea that each of the world's major regions will close in on itself and that trade wars must now be the rule, presents dangers which will, unfortunately, come true over time," he cautioned.

On Wednesday, trade experts at the US Cato Institute said in a statement that Trump’s import taxes will approach tariffs not seen since 1930, which “incited a global trade war and deepened the Great Depression.”

Bayrou also accused the US of "turning against its allies" and "no longer being in solidarity with them" through this "trade war."

He said the world had entered a period of uncertainty, with the tariff hike compounding existing geopolitical tensions.

"These are serious times we have entered, and this opens a period of uncertainty that calls into question what we have taken so long to build and which calls into question our economy and French society as a whole," he noted.

Bayrou is set to meet with several government ministers and industry representatives at the Elysee Palace on Thursday afternoon to discuss the impact of the US tariffs.

He expressed concern that affected sectors in France and Europe would be "held hostage" by the economic fallout.

"It is up to us to invent the new world that must come, and we know part of the face of this new world: that Europe finally accepts to exist as a power capable of defending itself and of thinking about what the future of a different relationship with the United States and a different economy will be,” he concluded.

- EU leaders plan response

French Foreign Minister Jean-Noel Barrot said at the NATO foreign affairs meeting in Brussels that European leaders are preparing a firm response to the US tariffs.

He emphasized that unity among alliance members is more crucial than ever, as the US decision to implement reciprocal tariffs threatens economic stability on both sides of the Atlantic.

"Europe will initiate consultations to consider, if necessary, additional measures in response to the reciprocal tariffs applied last night," he said, stressing the EU’s commitment to defending its economic interests.

Trump on Wednesday announced sweeping tariffs on dozens of countries and economic regions, including the European Union. Imports from the EU will face a 20% surcharge, while others will be subject to a minimum rate of 10%.