ECB’s De Guindos: Trump’s tariffs increase uncertainty

European Central Bank (ECB) Vice President Luis de Guindos said on Monday that US President Donald Trump’s tariff policies have added uncertainty to the ECB’s monetary policy outlook.

Speaking to Spain’s Onda Cero radio, de Guindos noted that the tariffs have made future decisions “much more opaque” than six months ago.

He also said inflation in the eurozone is now expected to reach the ECB’s 2 per cent target in early 2026, later than the mid-2025 forecast, due to rising energy costs.

However, he maintained that “everything is moving in the right direction” and suggested that any inflationary impact from tariffs could be offset by weaker economic growth.

Attribution: Reuters

Subediting: M. S. Salama