IMF chief Lagarde says nobody wins a trade war

No one emerges victorious from a trade war, International Monetary Fund chief Christine Lagarde said on Wednesday. She warned that the economic impact of US import tariffs would be serious if other countries respond with their own barriers, according to Reuters. US President Donald Trump on Tuesday reiterated his plan to slap big tariffs on steel and aluminum imports, warning the EU it would get hit with a “big tax” for not treating the US well when it comes to trade. “The macro-economic impact would be serious, not only if the US took action, but especially if other countries were to retaliate, notably those who would be most affected, such as Canada, Europe, and Germany in particular,” Lagarde said on French radio RTL. “In a so-called trade war, driven by reciprocal increases of import tariffs, nobody wins; one generally finds losers on both sides,” Lagarde said, adding that she hoped Trump would not implement the tariffs threat.