ECB’s Nagel: There Has Been Progress on Tariffs, But Still Work to Be Done

21 May 2025

ECB’s Nagel: There Has Been Progress on Tariffs, But Still Work to Be Done
Joachim Nagel, president of the Deutsche Bundesbank, at the Euro20+ Town Hall in Frankfurt on November 30, 2023. Photo by Felix Schmitt/ECB under CC BY-NC-ND 2.0.

By Marta Vilar – MADRID (Econostream) – European Central Bank Governing Council member Joachim Nagel said on Wednesday that despite the progress made on the tariff front lately, there was still some way to go.

In an interview with German broadcaster ARD, Nagel, who heads the Deutsche Bundesbank, said that his ‘impression here is that we are beginning to come closer together on certain issues, to better understand each other, but there are still some hurdles to overcome.’

‘So, there is still a lot of work to be done’, he added.

The US now showed a better understanding of the matter, according to Nagel, who said he was ‘a little more confident’ than a few days ago.

About the German Council of Economic Experts’ projections of stagnation for Germany in 2025, Nagel said it had not come as a surprise, as the uncertainty stemming from tariffs was harmful.

German economic growth in Q1 could surprise to the upside, but it could deteriorate in Q2, when the effects of tariffs are felt, he said.

 

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