Marcel Fratzscher, President of the German Institute for Economic Research (DIW), has urged the European Union to adopt a firm counter-reaction to the new tariffs announced by US President Donald Trump. Speaking to “Handelsblatt”, Fratzscher suggested that the EU should use retaliatory measures, specifically by taxing US technology companies, to offset any disadvantages and improve its bargaining position. He noted that given Trump’s current domestic political weakness, this moment represents the opportune time for such a strategic response. The advice comes in response to Trump’s threat to increase tariffs on cars and trucks originating from the European Union by 25 percent, measures which he indicated would take effect starting the following week, though he provided no further details on the new rates.