Middle East conflict threatens EU with economic crisis

A protracted war in the Middle East threatens the EU with an economic crisis. According to Bloomberg, experts estimate that the European Union remains the most vulnerable major economy to the consequences of a conflict with Iran due to its dependence on Middle Eastern oil and gas.

In 2026, the EU was expected to see moderate growth and lower inflation, but an escalation could change the forecast. If the conflict is short-lived and the rise in energy prices is temporary, the damage will be limited. However, a protracted war and persistently high oil and gas prices could force governments to increase spending to offset rising tariffs and increase political pressure on incumbent leaders.

Some analysts believe that Trump is interested in preventing a prolonged spike in energy prices, which could negatively impact his standing ahead of the US elections.