Institution: U.S. tariff threat poses risks to European credit bonds.

Suvi Kosonen of the Netherlands International Group stated in a report that the United States is threatening to impose tariffs of up to 25% on eight European countries, which increases uncertainty and poses a risk to the European credit bond market. Kosonen noted that the credit spreads of European additional Tier 1 capital bonds are at risk of widening due to the threat of these tariffs. The credit spreads widened in April 2025 following the announcement of global tariffs by the United States. She said, "If the market deteriorates significantly and trends towards the levels seen in April last year, then the spreads will face significant risks."