US President-elect Donald Trump’s visit to France for the Notre Dame cathedral re-opening has come as the country is facing an economic crisis and looming tariff threats from the US.
French Prime Minister Michel Barnier stepped down on Wednesday, after a 90-day tenure, making it the shortest in French history. The move came amid fierce political divisions between parties in the legislature, which ultimately led to his loss of confidence vote.
The short-lived government has left France with no fiscal budget for next year and a no clear prime minister to replace Barnier. This has sparked concerns among investors and business executives, who fear uncertainty over taxes and regulations.
Tariffs on French exports to the US remain a threat, which could further exacerbate France’s struggling economy, expected to barely reach 1% growth this year. The situation is mirrored in neighboring Germany, which faces its own economic challenges due to debt reduction rules and competition from China.
Despite the uncertainty, some analysts believe that Trump’s tariffs and concerns over defense spending could spark necessary reforms in European fiscal policy, potentially revitalizing the economy.
Source: https://www.foxbusiness.com/fox-news-global-economy/trumps-france-visit-comes-amid-tariff-threats-country-economic-turmoil