Donald Trump’s imposition of tariffs could potentially impact European Union’s (EU) economic growth and lead to an increase in inflation. This presents a challenge for the European Central Bank (ECB). Although trade may experience a slowdown and prices may rise, certain economists believe that rate cuts could still be pertinent, provided that inflation expectations are kept stable.

Source: https://www.euronews.com/business/2025/03/31/how-could-the-european-central-bank-react-to-trumps-trade-tariffs