Czech PM: Europe must resist influx of cheap goods from China

Europe must take measures to resist an influx of cheap goods from China, Prime Minister Petr Fiala said after a cabinet meeting devoted to the possible impact of the trade tariffs imposed by the Trump administration. Mr. Fiala said that if the European Union fails to reach agreement with the US on tariffs, the block must respond with effective countermeasures. He called for the removal of barriers on the EU's internal market and stressed the need for the block to diversify its business interests.

The Czech prime minister said the government would boost its efforts in the field of economic diplomacy, adding that a working group was being established to help protect the interests of Czech companies.

Finance Minister Zbyněk Stanjura said that the introduction of US tariffs should not lead to an increase in inflation in the Czech Republic, nor would they affect the expected growth of real wages this year. Earlier, the finance ministry said that it expected Czech economic growth to slow down by 0.6 to 0.7 percentage points due to the US tariffs.