June 23, 2025 – As Europe grapples with the ripple effects of global political and economic instability, including the ongoing impact of US tariffs, European consumers are responding with heightened concern. With rising prices, disrupted supply chains, power outages and currency fluctuations, purchasing habits are shifting, driven by a desire for greater control and reassurance amid uncertainty. Innova Market Insights research looks at consumer behavior, positioning trends, and more, in the context of Trump’s tariffs.
Earning Consumer Trust through Integrity
Earning consumer trust through transparency is vital, especially during times of economic and political uncertainty. European consumers feel disillusioned with both governments and corporations, particularly amidst tariffs like the 10% US tariffs that may rise to 50%, leading to higher prices and reduced control—22% feel less in control, and 44% cite personal finance concerns. Brands that openly share their sourcing and pricing practices can build trust and loyalty, helping consumers navigate market turbulence. Transparency offers a foundation for trust; 43% of European consumers believe global brands prioritize profits over consumers.
Additionally, helping consumers solve problems fosters stronger brand affinity. With 22% feeling less in control due to misinformation and 25% seeking self-sufficiency, brands that promote honesty and support could better connect with consumers during uncertain times.
European Consumer Demand for Self-Sufficiency
There is a growing desire among European consumers for control over their consumption habits, such as cooking at home and reducing waste. Brands can support this by providing simple tools like recipes, savings tips, or ideas for reuse and upcycling, which empower consumers without overwhelming them. Emphasizing actions Europeans are already taking can resonate across various motivations. Supporting self-sufficiency, sustainability, and local pride together creates a stronger emotional appeal.
Products that are both locally sourced and environmentally responsible tend to have a greater emotional impact than those focusing on sustainability alone. In many European markets, local shopping remains consistent, with 30% of consumers choosing local produce to support the environment and 34% supporting local growers, producers, or merchants to eat more ethically. Loyalty to brands is less significant than performance and shared values among consumers.
Rising Costs for European Consumers
Due to price sensitivity and rising costs for European consumers, particularly with the new threat of Trump’s tariffs, it’s becoming important for brands to demonstrate efforts to maintain prices or minimize price increases, even if sourcing and production are adjusted. Consumers appreciate transparency and knowing brands are working in their best interests. Ongoing political and economic instability in Europe, with rising tensions and unpredictable leadership, has increased consumer anxiety. About 34% cite stress or anxiety as a top health concern; this unease is compounded by economic uncertainty brought about in part by Trump’s tariffs, now cited by 23% of European consumers.
With rising prices and living costs, these pressures are hard to ignore. As food prices increase, reducing waste becomes more critical. Brands that offer waste-reduction tips, recipe stretchers, or repurposing ideas can position themselves as allies, supporting household budgets in addition to environmental goals, thereby increasing trust and impact.
Local Pride in Europe
There is a noticeable shift in Europe toward purchasing local products, driven by political and economic instability. This trend encourages brands to promote European-made goods and align with values such as sustainability, ethical sourcing, and regional pride.
European consumers are choosing local options not just out of patriotism but also for stability and familiarity. Amid Trump’s tariffs introduced by the new Trump administration and ongoing global tensions, Europe’s economy faces strains that make consumers more willing to switch to European brands if they meet expectations. Even before these Trump’s tariffs, interest in locally produced goods was growing across Europe. Currently, with concerns about affordability, availability, and trust, this shift is accelerating. Key priorities include freshness, flavor, and food safety. Highlighting “Made in Europe” or regional claims can reassure consumers and foster a sense of control and pride.
Reevaluating Export Strategies
US tariff threats on European alcohol are drawing increased scrutiny on food and beverage manufacturers. This may disrupt demand in the US and cause companies to shift their focus toward alternative markets and stronger regional distribution. High US tariffs could also lead China to redirect some exports to Europe, possibly resulting in an influx of cheaper goods and increased price competition for local supermarkets.
What’s Next in the European Market?
With 43% of Europeans losing trust in brands due to brands prioritizing profits over benefits, now is the time for companies to demonstrate genuine commitment to meeting consumer needs and social responsibility. With 43% of Europeans losing trust in brands that prioritize profits over benefits, now is the time for companies to demonstrate genuine commitment to meeting consumer needs and social responsibility. Brands that help consumers regain a sense of stability—through transparency, value, and practical support—are better equipped to navigate this period of growing uncertainty.
As Europeans turn away from expensive US imports in the aftermath of Trump’s tariffs, there’s an opportunity to highlight regional pride. For example, European fans of American BBQ sauces could be introduced to bold, smoked regional condiments from Eastern Europe, or products featuring German or Belgian beers, Spanish fermented black garlic, or other locally rooted ingredients—offering familiar flavors with a twist.
Price remains important. Local brands need to deliver real value through both price and quality, rather than relying solely on emotional appeals like patriotism, to build lasting consumer loyalty. Supporting European brands is increasingly a practical choice, not just a political one.
This article is based on Innova’s Trump’s Tariffs: Europe’s Response & Consumer Impact report. This report is available to purchase or with an Innova Reports subscription. Reach out to find out more
