Dr. Sonali Chowdhry

Sonali Chowdhry and Jan Krause were selected as two of 373 Young Economists from 60 countries to participate in the 7th Lindau Meeting on Economic Sciences.

The outbreak of COVID-19 could drive Iran into economic and political chaos. US sanctions have substantially weakened the country. Export restrictions, as imposed e.g. by the EU, are now impeding access to urgently needed medical products. Diplomatic tensions might rise and jeopardize cooperation, concerning e.g. the nuclear deal, if the EU hesitates to act.

German exporters will be particularly affected from the implementation of the Phase I trade agreement between the USA and China which has now come into force. As a result of trade diversion, Germany’s exports of goods to China are likely to fall by almost 4.5 billion US dollars next year, especially in industries such as vehicles, aircraft, and industrial machinery. Only Brazil’s soybean farmers will be hit harder. This is shown by calculations made by the Kiel Institute.