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flag ECB's Lagarde warns rising U.S. tariffs strain Europe, urging global cooperation on critical minerals amid AI-driven trade shifts.

flag ECB President Christine Lagarde warned that rising U.S. tariffs—now at 13% on European goods, up from 1.5%—are creating economic strain, with costs currently shared by exporters, importers, and consumers, though she expects consumers to bear more as corporate margins shrink. flag She cautioned that while U.S.-China trade tensions are intense, including over rare earth exports, both sides have incentives to negotiate. flag Lagarde urged Europe and other nations to act as a unified buyer to counter China’s dominance in critical minerals, stressing that coordinated global action is key amid broader economic shifts driven by AI and trade policy.

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