French Finance Minister criticizes Trump's tariffs for damaging the dollar's credibility and supports the independence of the Federal Reserve and Powell

Recently, President Trump's aggressive tariff policy has sparked dissatisfaction among various countries. French Finance Minister Eric Lombard directly criticized the tariffs for damaging the US dollar's credibility and strongly supported Federal Reserve Chairman Jerome Powell. Additionally, Chicago Federal Reserve Bank President Austan Goolsbee warned the Trump administration on Sunday not to attempt to undermine the central bank's independence.

French Finance Minister Directly Criticizes Trump's Tariffs for Damaging US Dollar Credibility

In an interview with Le Journal du Dimanche, French Finance Minister Eric Lombard directly criticized US President Trump, stating that his long-term aggressive measures on tariffs have damaged the credibility of the US dollar.

Lombard said the result would be increased debt repayment costs and serious economic disruption, believing that the consequences would eventually force the United States to negotiate to end tensions.

On the tariff issue, the French Finance Minister said that the 10% tariff Trump imposed on EU imported products does not constitute a "common ground", and Europe's goal is to establish a free trade zone with the United States.

The 10% increase is "unsustainable for the US economy and poses a significant risk to global trade".

Lombard Supports Powell

The tension between US President Trump and Federal Reserve Chairman Jerome Powell has escalated again. Trump has repeatedly publicly criticized Powell for not lowering interest rates to save the market. White House economic advisor Kevin Hassett also stated that the Trump administration is "studying" whether they have the right to replace Powell, which could not only impact the Federal Reserve's independence but also potentially cause severe fluctuations in global financial markets.

French Finance Minister Eric Lombard warned that if President Trump fires Federal Reserve Chairman Jerome Powell, the US dollar's credibility will be threatened, and the US economy will become unstable.

Austan Goolsbee: Federal Reserve Independence is Very Important

Additionally, Chicago Federal Reserve Bank President Austan Goolsbee also warned the Trump administration on Sunday not to attempt to undermine the central bank's independence.

I strongly hope we do not enter an environment where monetary independence is questioned. This would damage the Federal Reserve's credibility.

In countries without central bank monetary independence, the fact is that inflation is higher, growth is slower, and the job market is worse.

The Federal Reserve's structure is independent of politics, so the legal basis for dismissing its chairman is questionable. Trump's remarks again show the president's efforts to strengthen control over all branches of the US government.

Powell stated that he will not retire before the end of his term and reiterated at the Chicago Economic Club on April 16 that central bank independence "is a legal matter, and we cannot be dismissed unless there is just cause."