The United States has proposed large tariff increases, which will probably also apply to the EU. The majority of exports from both Finland and the EU to the United States consist of goods, which would be subject to customs duties. Conversely, the bulk of US exports to the EU are services. Consequently, the EU’s retaliatory actions targeting US service exports would be more effective than counter tariffs on imports of goods alone. Roughly estimated, Finland’s GDP would fall by 0.5–1.6% if the US raised tariffs on all products to 25%.
