Europe Braces for Risk of Another Trump-Led Economy

Welcome to the Brussels Edition, Bloomberg’s daily briefing on what matters most in the heart of the European Union.

Memories of transatlantic tensions and trade wars in the Donald Trump years are still raw for European policymakers and central bankers. Having only just now tamed inflation and still struggling with anemic growth, they’re looking with trepidation at the former president’s call for across-the-board tariffs, as well as his poll numbers, which put him neck and neck with Kamala Harris. Officials are quietly preparing for the shocks that might come if Trump wins. The EU has struggled to bring down inflation without harming growth, and several countries, including Germany, have outlined reinvigorating their economies as a top priority. With a war on its doorstep, Europe is in a weaker position than it was the last time Trump won.