Export taxesIf, however, the EU eschewed import tariffs in favour of export taxes, the US may take a bigger hit. A good example is pharmaceutical products, where the EU runs a large trade surplus with the US. But the transatlantic services trade is almost as large as trade in goods — both a bit above $800 billion annually. European investors hold about $6 trillion of this debt — about $3 trillion in US Treasuries and another $3 trillion in Treasury-backed US housing-agency debt. But the notion that European investors could dump their US Treasury holdings, thereby bringing down the market and driving up interest rates, is unrealistic.

Source: Irish Examiner January 29, 2026 00:50 UTC