May 28th, 2025
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Leaders in Europe are trying to stop the U.S. from putting a big 50% tax on goods they sell to America. The U.S. President is not happy because Europe sells more to the U.S. than it buys. Europe says that if you also count online services, the U.S. actually sells more to Europe. To help the U.S. sell more goods, Europe could buy more gas from the U.S., spend more money on defense with U.S. companies, or make the tax on foreign cars lower. But, it is hard to solve problems with Europe's rules for food and its sales taxes. Experts think that if the U.S. adds this 50% tax, the economy in Europe could get smaller by 1% next year, and businesses might invest 6% less money.
May 28th, 2025
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