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Tariffs to cut eurozone GDP by up to 0.6 pps in 2026: Survey

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European businesses expect a sharper hit from US tariffs and trade frictions in 2026, after limited impact in 2025 due to front-loading, according to a survey by BusinessEurope.
It estimated GDP losses of 0.5–0.6 pps next year, and around 0.7 between 2025 and 2027.
Most firms reported reduced competitiveness and rising costs, urging tariff stability and simplified customs to restore predictability.



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