In a whirlwind of trade turbulence, the U.S. tariff war is shaking the foundations of long-established global alliances. With shifting policies from the Trump administration, key partners like Japan, Germany, and Canada are rethinking their ties with Washington.
Japanese Prime Minister Shigeru Ishiba recently sent a clear message during a parliamentary session: Japan will not rush to make significant concessions in the face of steep U.S. auto tariffs. Once seen in a more conciliatory light, Japan’s abrupt pivot comes as U.S. tariffs on Japanese automobiles soared from 2.5% to a hefty 27.5%, threatening millions of jobs in its vital automobile sector 🚗.
Across the globe, German Chancellor-designate Friedrich Merz warned that these erratic tariff moves could accelerate a global financial downturn, even as he pushed the idea of a U.S.-European free trade agreement. Meanwhile, in Canada—where 76% of exports head to the U.S.—Prime Minister Mark Carney announced retaliatory tariffs designed to hit the U.S. economy where it hurts most.
Financial analysts are taking notice too. Reports from major Canadian and Danish pension funds indicate a growing reluctance to invest in U.S. markets, as Washington’s unpredictable policy environment casts long shadows over global investments.
Even French President Emmanuel Macron has urged caution, joining an EU sentiment that pre-Trump trade relations might be a thing of the past. Today’s global landscape is prompting nations to explore new economic pathways and trade partnerships, underlining that even the most time-honored alliances must evolve to survive 🌐.
Reference(s):
U.S. tariff war drives allies to reassess ties with Washington
cgtn.com
