Elon Musk is seeking a US-European free trade zone with zero tariffs, but the EU plans to respond to US import operations.
Tech billionaire Elon Musk seeks unlimited trade between the US and Europe and advocates for a tariff-free economic zone.
Advisors to US President Donald Trump said he supported eliminating trade barriers during a video appearance at a conference hosted by Italian far-right league parties in Florence on Saturday.
His comments came days after Trump announced an array of tariffs on imports into the US. This includes plans to impose a 20% tariff on imports from EU members, including Italy, which has a significant trade surplus with the United States.
“Ideally, both Europe and the US should move to a zero tariff situation and create an effective free trade zone between Europe and North America,” he said.
Speaking to league leader Matteo Salvini, Musk supported greater freedom of movement between the two regions.
“If people want to work in Europe or in North America, in my opinion they should be allowed to do so,” he said.
Musk has previously expressed support for right-wing European parties, including the Salvini League, Italian brothers of Italian Prime Minister Giorgia Meloni and the German Alternative (AFD).
Earlier on Saturday, Italian Economy Minister Giancarlo Giorgetti, a member of the league, urged the removal of escalations with Washington on fees and paid attention to retaliation measures.
The European Union has committed to responding to tariffs on goods “in a gentle, careful, step-by-step and unified way,” said EU trade chief Maros Sevkovic.
Trump described the latest tariffs as an “economic revolution” and argued that the measure would bring industry and employment back to the United States.
The announcement of tariffs led the US stock market to record its worst stretch in two days since Covid Pandemic and international markets were also routed.
Some countries have said they will retaliate, increasing the risk of a global trade war marked by The-for-Tat tariffs.
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