"C’est n’importe quoi!”

Author

Evodince GmbH
April 15, 2025

Editor’s Note – by Leigh Fatzinger

Good morning. Today we’re reporting from Antibes, France, where the pressure of an ongoing global trade war is palpable among small artisans and ateliers producing handcrafted leather goods and clothing—especially those exporting to the United States under the “Made in France” or “Provençal craftsmanship” branding.

Each morning, craftspeople in the region—mostly sole proprietors—load their goods into tiny trucks and head to larger towns like Antibes, Grasse, and Aix-en-Provence. There, they set up shop at local farmers’ and craft markets, selling to tourists who, at this time of year, are primarily French, Irish, and British. But it’s the American boutique retailers, online orders, and direct-to-consumer exports that make up a large (and previously growing) share of their business.

Several expressed concern about the ongoing trade dispute, noting that U.S. demand for their products only exists because they’re made in the South of France. As one artisan put it when asked about relocating production to avoid tariffs: “C’est n’importe quoi!” [Translation: That’s ridiculous!]

Not just bags and belts feeling the squeeze: From handcrafted leather in Provence to full-bodied reds from Rioja and Bordeaux, anxiety is rising across smaller industries in the European Union. Winemakers from France, Italy, Spain, and Portugal—many of whom rely on American consumers—now find themselves caught in, and confused by, a broader trade fight.

Today’s edition also looks at how Europe is responding to shifting U.S. tariff policy—and why Big Tech in the US is facing growing scrutiny from regulators in the EU.

Now, on to what Europeans are reading and talking about as the US/EU trade tension continues.

From Belgium

In a world dominated by "predators," Chappaz raised concerns about France and the EU's dependence on US Big Tech, particularly in the cloud sector, where American giants Google Cloud, Microsoft Azure, and Amazon Web Services control up to 80% of the European market.

To safeguard itself from these and other US tech behemoths, she stressed that Europe must "work as a pack" on innovation, enforcement of its digital tech rulebook despite US threats and retaliate to the "idiotic" trade war launched by Trump, including -if necessary- by taxing US Big Tech digital services.

‘All options need to be on the table’ – Paschal Donohoe supports threatening US with tax on Big Tech - Irish Independent (Ireland) - 12 April 2025
A levy on US tech companies is a sensitive issue for Ireland, because they are among our biggest and best-paying employers, and are huge contributors to the Exchequer by way of corporation tax, which yielded €39bn last year. Technology Ireland, an Ibec group that represents the sector, has opposed the idea of a tax. It called for the EU to be measured in its response and to focus on de-escalation of the trade war.

Evodince is 100% subscriber and reader supported.
Who do you know who would be interested in this briefing?

From Switzerland

Europe just might be ‘uniquely well positioned’ to manage a tariff war - World Economic Forum - Switzerland - 11 April 2025

“The EU’s setup makes it uniquely well-positioned to manage a tariff war,” said Andrew Caruana Galizia, the World Economic Forum’s Head of Europe and Eurasia. “It has an extremely competent trade bureaucracy with the power to negotiate on behalf of the entire bloc, and it can take far-reaching countermeasures without unanimity among its 27 member states. This means it tends to react both swiftly and calmly on trade matters, which is exactly what we’ve seen in this latest round.”

Evodince Strategy + Insights: When the rules shift, agility is advantage.

While the U.S. trade policy continues to swing back and forth from tariff to truce, the European response is shaping into something more coherent, albeit cautious. From Portugal’s billion-euro agri-food bailout to France’s digital “pack hunt,” it’s becoming clear: flexibility is the new trade weapon of choice.

  • Don’t wait for the rules to stabilize—design for volatility. As U.S. digital and agricultural imports face backlash in Europe, industries with exposure to U.S. demand must build scenarios for prolonged instability. Look at how Portugal is leveraging export insurers and providing credit lines to smaller producers to adjust to shocks.

  • Narrative now drives supply chains. In tech and textiles alike, origin stories are market differentiators—but they’re also trade liabilities. “Made in France” may open doors with buyers but close them with customs. Evaluate how “brand origin” influences your exposure to tariffs or retaliatory policy.

  • Stay light on your feet. The EU may traditionally have moved slower than other markets, its structure allows for bloc-level countermeasures without unanimity. That’s no small advantage. If you’re looking to pivot sourcing or logistics across the continent, keep an eye on how Brussels frames “strategic autonomy” in upcoming talks and press conferences.

📖 Read Friday’s edition of Evodince On: EU Trade – Evodince Media (Austria) – 11 April 2025

This briefing is free until April 30.
The more subscribers we sign up,
the longer it will stay that way.

From Portugal

The Portuguese agri-food industry is already feeling the bitterness of Trump’s tariffs, with US companies “slowing down orders” in the face of uncertainty about the real impact of the transaction on various products. Last Thursday, the Portuguese Prime Minister announced a package of measures to support companies and mitigate the impact of US tariffs, worth ten billion euros. The measures include bank guarantees, credit lines, export credit insurance, unification of policies and increased support for internationalisation projects.

European rye whisky producers protest trade agreement - Decanter (United Kingdom) - 9 April 2025

US stops orders for Portuguese wines - The Portugal News  (Portugal) - 15 April 2025

From Germany

While much of the euro's rally stems from a flight from the dollar due to the US's protectionist trade policies — including steep tariffs of 145% on China — part of the single currency's strength reflects growing confidence in the eurozone economy.

The 20-member eurozone is rebounding from a mild recession in 2023, with growth of 0.8% last year and a projected 1.3% expansion in 2025. However, looming 20% US tariffs on imports from the European Union — currently paused for 90 days — could still derail this outlook.

Save us from our own echo chamber!
Tell us what you think of today’s newsletter.

Note: How Evodince Obtains The News We Use in our Briefings

Evodince believes in and supports high-quality journalism. We understand reporting and delivering accurate news does not come free. While we share snippets of news stories in our briefings, it is also important to extend support of these publications by clicking on the links to their stories, visiting their sites, supporting their advertisers, and, if possible, subscribing to their publications. Thank you.

Reply

or to participate.