IMF’s Lagarde says nobody wins in a trade war

Denis Balibouse | Reuters

Christine Lagarde, Managing Director of the International Monetary Fund (IMF) attends a news conference on the world economic outlook during the World Economic Forum (WEF) annual meeting in Davos, Switzerland January 22, 2018 .

The International Monetary Fund’s (IMF) Managing Director Christine Lagarde has warned a global trade war would create a lose-lose situation for everyone, amid an escalating war of words between the U.S. and several of its trading partners.

Speaking to French radio station RTL on Wednesday, Lagarde said: “The macro-economic impact would be serious, not only if the United States 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.”

Last week, President Donald Trump insisted “trade wars are good” after a contentious global response regarding his decision to impose tariffs on steel and aluminum imports.