2 ms·
I may be wrong but international trade is often labelled in US Dollars [0], so for US entities buying at EU, it would change little, while for EU entities buyin
by JPLeRouzic 4y ago
I may be wrong but international trade is often labelled in US Dollars [0], so for US entities buying at EU, it would change little, while for EU entities buying in US, it would be costlier as they would have (or their bank) to buy more Dollars to pay for the imported stuff.
For US entities selling to EU, nothing changes, but for EU entities selling to US, they would receive less Euros for a given amount in Dollar. As their cost structure is in Euro, they will have a lower net income.
[0] https://en.wikipedia.org/wiki/International_use_of_the_U.S._dollar#In_the_global_markets https://en.wikipedia.org/wiki/International_use_of_the_U.S._...