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9 Jul 2024

International Economy

European politics has a limited impact on Thailand, but the results of the US presidential election will cause turbulence (Current Issue No.3512 Full Ed.)

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European politics has a limited impact on Thailand, but the results of the US presidential election will cause turbulence
  • The elections in Europe and the US this year will contribute to heightened uncertainty in the global economy going forward. The election results in the UK and France reflect a political shift towards left-wing parties, leading to fiscal policies aimed at increasing government spending to support living costs, particularly for low-income households. This could potentially pose fiscal risks in the future.
  • In the United States, following the first debate, there has been a surge of calls for President Joe Biden to withdraw from being the Democratic Party’s candidate. Meanwhile, Donald Trump, the Republican Party’s candidate, continues to lead in the latest polls.
  • Regardless of whether the Republican or Democratic Party wins a majority in Congress, both parties impose protectionist trade policies against China. If Donald Trump is elected president, this might lead to increased tariffs on Chinese imports by 60 percent, and a 10-percent hike in tariffs on imported goods from other countries.

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International Economy