Tariffs complicate trade
Almost half (48%) of EU firms now see tariffs as an obstacle to trade. But a relatively small share, 18%, see tariffs as a major obstacle to trade. That contrasts with the United States, where more than three-quarters of firms say tariffs are an obstacle, and as many as 39% cite it as a major barrier.
Compliance with new regulations, standards and certifications bogs down trade on both sides of the Atlantic, but arguably more so in Europe. 20% of EU companies say regulations are a major barrier, compared with 8% in the United States.
Firms rethink suppliers
New tariffs shook up global supply chains. But European firms are taking a long view and finding solutions that balance efficiency with supply chain resilience. While just 7% of EU firms reduced imports, as much as 19% started to diversify the countries from which they import.
This differs significantly from US companies, which are aggressively looking for ways to substitute imports. Almost one-third of US companies surveyed are cutting imports, and roughly 40% are switching countries.
EU firms remain committed to trade
EU firms remain well integrated into international trade (either within the European Union or outside it), with manufacturers and large firms leading the way. Roughly two-thirds of EU firms either import, export or both. That’s a much higher figure than for US firms.