US President Donald Trump has signalled an openness to talks on tariffs after around $2 trillion (€1.8 trillion) was wiped off the S&P 500 on Thursday, causing the worst US trading session since the 2020 pandemic.
Mr Trump said that he would be open to negotiating with other countries for “phenomenal” offerings.
“If somebody said that we’re going to give you something that’s so phenomenal, as long as they’re giving us something that’s good,” he told reporters aboard Air Force One on Thursday.
His comments came after White House Officials said new reciprocal tariffs were not negotiable, further exacerbating global uncertainties about the US presidents’ tariff plans. The announcements spooked investors fearing an all-out global trade war that could spark a global recession, or even a 1920s-style Great Depression.
Last week, Mr Trump announced tariffs targeting 180 nations on an unprecedented scale, insisting that the economic impact would only be temporary.
US President Donald Trump’s announcement of a 20 per cent tariff on imports from the European Union is likely to have a direct impact on locally based manufacturing firms that export electronics and semiconductors to the United States.
Other industries, including some locally based pharmaceutical companies, could also feel the effects of this drastic measure. While some manufacturing companies in Malta could be directly affected, the overall impact on the country’s economy is expected to be limited due to its relatively low export volume to the US.
According to United Nations COMTRADE data, Malta exported $224.18 million worth of goods to the US in 2024, with the majority being electronics and semiconductors. While some pharmaceutical and manufacturing firms may also feel the pinch, Malta’s economic diversification is expected to mitigate broader repercussions.
However, the tariffs – along with Trump’s confrontational approach towards Europe and his isolationist policies – could have indirect effects on the global economy that may impact both Europe and Malta.
On the upside, industry insiders note that certain sectors, such as iGaming, which had long been considering expanding operations into the US, may now reconsider their strategy, potentially reinforcing Europe’s position as a hub for digital gaming firms.
| Image source: Gage Skidmore from Surprise, AZ, United States of America |
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