Trump threatens to end trade with Mexico and Europe after Fed rate rise
Donald Trump has reportedly threatened to end trade with Mexico and Europe after the Federal Reserve unanimously raised interest rates, despite his calls for lower borrowing costs.
US President Donald Trump has reportedly threatened to end trade with Mexico and Europe after the Federal Reserve raised interest rates in a unanimous decision.
The move, reported by Al Jazeera Global News, was described as the Fed’s first rate rise since 2023. The source does not specify the size or type of the increase.
Trump had reportedly pressed for an interest rate of 1 per cent or lower before the decision. The available material does not establish that his pressure influenced the Fed’s decision.
The reported threat follows earlier warnings that Trump could cut trade with countries running trade surpluses with the United States if rates were not reduced.
The material describes a threat rather than an enacted policy. It does not specify the proposed scope or timing of any suspension, or whether “Europe” refers to the European Union, European countries generally or another grouping.
