ECB Executive Board Member Highlights Risks of Trade Fragmentation

European Central Bank (ECB) Executive Board member Piero Cipollone expressed concerns on Tuesday about the substantial effects of tariffs imposed by the Trump administration on the global economy. Speaking at a conference titled 'Policy challenges in a fragmenting world: Global trade, exchange rates, and capital flow,' Cipollone emphasized the growing threat to international partnerships.

Rising Risks and Long-term Consequences

Cipollone pointed out the 'rising risk' of fragmentation within the Western bloc, warning that the tariffs could have 'potentially profound' impacts on growth, stability, and prosperity in the medium to long term.