In a shocking break from former President Donald Trump’s aggressive commerce coverage, tech mogul and Tesla CEO Elon Musk has publicly advocated for a “zero-tariff scenario” between the USA and Europe, calling for a brand new period of financial cooperation and open borders.

Talking by way of dwell stream at The League Congress—an occasion hosted by Italy’s right-wing Deputy Prime Minister Matteo Salvini—Musk expressed a transparent desire for a free commerce zone between North America and Europe.

“I hope it’s agreed that each Europe and the USA ought to transfer, ideally, in my opinion, to a zero-tariff scenario, successfully making a free commerce zone between Europe and North America,” Musk mentioned.

He additional expanded on the concept by advocating for elevated labor mobility throughout continents.

“That’s what I hope happens, and in addition extra freedom of individuals to maneuver between Europe and North America if they need, in the event that they want to work in Europe or want to work in America, they need to be allowed to take action, in my opinion. In order that has definitely been my recommendation to the president,” he added.

The feedback come at a crucial second as Trump introduced new sweeping tariffs this previous week, concentrating on a number of international commerce companions together with the European Union. Beneath his revised financial coverage, the U.S. is about to impose a 20% tariff on EU imports, prompting sturdy reactions globally.

Monetary markets responded harshly to Trump’s tariff announcement. On Thursday, the S&P 500 index fell practically 5 per cent, the Dow Jones Industrial Common dropped 4 per cent, and the Nasdaq plummeted 6 per cent—one of many steepest declines seen for the reason that early days of the COVID-19 pandemic in 2020.

At a White Home occasion the place he formally introduced the tariff hike, Trump doubled down on his place, stating, “The USA has been ‘looted, pillaged, raped and plundered’ by different nations’ buying and selling insurance policies,” and heralded a brand new period as “the golden age of America.”

Trump continued his protection of the tariffs on Reality Social over the weekend, writing, “China and lots of different nations, have handled us unsustainably badly. We’ve been the dumb and helpless ‘whipping publish.’ THIS IS AN ECONOMIC REVOLUTION, AND WE WILL WIN. HANG TOUGH, it gained’t be straightforward, however the finish end result will likely be historic. We are going to, MAKE AMERICA GREAT AGAIN!!!”

European leaders haven’t taken Trump’s announcement frivolously. Ursula von der Leyen, President of the European Fee, responded on X (previously Twitter), stating: “Europe is ready to reply. We’ll all the time shield our pursuits and values. We’re additionally prepared to interact. And to go from confrontation to negotiation.”

Whereas Musk has been a detailed adviser to Trump, his latest statements replicate a big coverage divergence on commerce. As the worldwide financial group watches carefully, Musk’s advocacy without cost commerce and open borders might grow to be a significant speaking level in shaping the following section of US-Europe financial relations.

The White Home and Musk’s representatives haven’t but issued any official follow-up statements.