India, May 3 -- Germany's fragile economic recovery is under immediate threat as leading economists have warned that the EU nation could slide into a recession in 2026 due to new US tariffs threatened by US President Donald Trump.

The Head of the IFO Institute for Economic Research, Clemens Fuest, warned in a statement on Sunday that the US tariffs on automobiles could cost Germany nearly $18 billion or 15 billion Euros in output. Trump has threatened a new tranche of levies on cars and trucks from the European Union on Saturday, which the analysts say would lead to significant output losses rising to around 30 billion euros over the longer term.

For Germany, the proposed new round of US trade tariffs could dismantle the country's indus...