ECB\u2019s Lagarde urges clarity as US tariff turmoil returns.<\/p>\n
Summary:<\/p>\n
Lagarde warns renewed US tariff uncertainty risks fresh disruption<\/p>\n
Says businesses need clarity on trade and investment rules<\/p>\n
Hopes new tariff plans are \u201csufficiently thought through\u201d and constitutional<\/p>\n
Notes consumers ultimately bore the cost of prior tariffs<\/p>\n
Defends central bank independence amid US political backdrop<\/p>\n
Reaffirms focus on euro area price stability and completing her term<\/p>\n
European Central Bank President Christine Lagarde warned that renewed uncertainty around US trade policy risks triggering fresh disruption for businesses and consumers, following a Supreme Court decision that struck down much of the Trump administration\u2019s prior tariff regime<\/a>.<\/p>\n Speaking on Face the Nation, Lagarde said it remains unclear what will happen next as President Donald Trump<\/a> prepares new tariff measures<\/a> in response to the court ruling. She stressed that companies need predictability.<\/p>\n \u201cYou want to know what the rules are for trade and investment,\u201d Lagarde said, adding that an equilibrium had been emerging in global trade relationships before being shaken again. Reopening trade tensions would bring \u201cmore disruptions,\u201d she cautioned.<\/p>\n Lagarde expressed hope that any new tariff framework would be \u201csufficiently thought through\u201d and compliant with the US Constitution, warning that businesses prefer certainty over litigation and policy volatility. The comments followed the Supreme Court\u2019s decision to overturn the bulk of last year\u2019s tariffs, prompting the White House to signal fresh levies.<\/p>\n She also emphasised that consumers did not avoid the pain of earlier tariffs, underlining the inflationary transmission channel from trade barriers to household budgets, a key concern for central banks.<\/p>\n Turning to monetary policy, Lagarde reiterated her respect for both Jerome Powell and Fed nominee Kevin Warsh, while stressing that central bankers must remain immune from political influence.<\/p>\n Lagarde reaffirmed her focus on price stability in the euro area and indicated that her baseline expectation is to serve until the end of her term to consolidate policy gains.<\/p>\n Lagarde expressed hope that any new tariff framework would be \u201csufficiently thought through\u201d … so far there hasn’t been any evidence of tariffs being thought through, so good luck with that. <\/p>\n","protected":false},"excerpt":{"rendered":"ECB\u2019s Lagarde urges clarity as US tariff turmoil returns. Summary: Lagarde warns renewed US tariff uncertainty risks fresh…\n","protected":false},"author":2,"featured_media":297277,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[138,219,111,139,69],"class_list":{"0":"post-297276","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-business","9":"tag-economy","10":"tag-new-zealand","11":"tag-newzealand","12":"tag-nz"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/297276","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=297276"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/297276\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/297277"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=297276"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=297276"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=297276"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}