In the current issue 2/2025 of the trade journal “comply”, Professor Wolffgang gives an interview on the topic of “The consequences of sanctions and tariffs for global trade and the importance of compliance”. In an expert discussion with Prof. Dr. Bartosz Makowicz, editor of comply, he sheds light on economic policy backgrounds, geopolitical developments and the growing importance of functioning compliance structures in companies.

Using historical examples, Professor Wolffgang demonstrates that tariffs can have positive short-term effects on a country’s economic development. In the long term, however, they often lead to negative consequences, as illustrated by the Smooth Harley Act of 1930 or the current US-China trade conflict. Against this backdrop, he also considers US President Donald Trump’s tariff policy to be doomed to failure.

In contrast, Prof. Wolffgang considers the EU’s reaction to the US tariff policy to be prudent. On the one hand, the EU is making offers to defuse the trade conflict and, on the other, is preparing for possible countermeasures such as retaliatory tariffs should the negotiations fail.

Foreign trade compliance management systems (CMS) are of crucial importance for companies in times of trade conflicts. Professor Wolffgang advocates integrating foreign trade compliance into a company’s central CMS, supplemented by specialized departments.

In the medium term, he expects further fragmentation and polarization of the geopolitical and geo-economic situation – accompanied by growing protectionism and new risks for export-oriented countries such as Germany. For German companies, this means increasing uncertainty, export barriers and the need to regionalize supply chains. The German economy will also need to deal with geo-compliance, early risk detection and diversification, to name just a few.

You can find the full interview at this link.