The EU and UK would both pay a heavier price than the US in a tit-for-tat trade war if Donald Trump were to revive his tariff threat against Europe over Greenland, according to a new economic analysis.
European political leaders were forced to confront how to stand up to Trump earlier this month when he threatened to impose new tariffs of up to 25 per cent on eight European economies in a bid to pressure Denmark into selling Greenland.
Analysis by Aston University in Birmingham showed Europe would have suffered more economic pain than the US had the two sides become locked in a full-blown trade battle, in which the EU and UK matched threatened duties.
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