Trump's cold shoulder is Europe's wake-up call: Carlos Ghosn

Al Arabiya

22-04-2025

Carlos Ghosn, the ex-Renault-Nissan boss turned international fugitive, says Europe faces a defining moment amid economic uncertainty, Chinese competition, and cooling transatlantic ties. Speaking from Beirut, where he has lived since his dramatic escape from Japan in 2019, Ghosn told Al Arabiya News' Hadley Gamble that Donald Trump's indifference to Europe presents both a risk and a rare opportunity.
'When the president of the United States said, you know, Europe is not [relevant]... it's an opportunity for you to say, no,' he said. 'You reshape yourself. Or do you revamp yourself?'
Ghosn, who turned Nissan around and helped forge one of the auto industry's most ambitious global alliances, is now advising startups and lecturing on strategic crisis management. In his view, Europe must decide whether it is willing to change or continue down a path of decline.
'You have... the Europe of the future, the one challenging the outdated ideas and the old-fashioned stuff. And then you have the old Europe who tries to always do a little bit more of what they have done and which put them into the situation where they are.'
He called France a cautionary tale.
'Unfortunately, as you know, I'm a French citizen and I'm very sad to see the situation of France today, which is still struggling with the problem which is classical problem of a high debt.'
'At the end of the day, the whole boat is sinking.'
Instead, Ghosn pointed to newer EU member states and Italy as examples of rising energy.
'Italy is probably one of the new challengers in Europe... you have Eastern European countries also, [they] are new blood in Europe. They want something completely new.'
While Ghosn acknowledges the difficulty of structural reform in the European Union, he says the moment is ripe.
'There are forces in Europe fighting for revamping Europe... but to revamp Europe, you need to get rid of the old stuff that is leading you nowhere.'
The economic fog of tariffs and decoupling
The former CEO, who once oversaw plants on five continents, warned of the risks posed by global decoupling and protectionism under a second Trump administration.
'I think we are in a situation of high uncertainty. I don't think the end game is obvious.'
He said the new wave of tariffs imposed by President Trump, including heavy duties on Chinese products, steel, and semiconductors, have deepened the uncertainty facing multinationals.
'Any very premature decision can cost you much more than staying still until you see what's going on,' he said. 'A lot of companies have a supply chain which is a global supply chain... if you change anything now, not knowing what's gonna happen, it would be very dangerous.'
Indeed, analysts warn that tariffs on China and retaliatory actions from Beijing could destabilise the global trade system. The IMF last week cut its global growth forecast citing uncertainty around US industrial policy and its ripple effects.
The dollar: dominant but dented
On the question of whether the US dollar is at risk of losing its status as the global reserve currency, Ghosn was cautious but clear.
'I don't think personally that there would be a currency that's going to replace the dollar.'
Still, he said market psychology could drive short-term shifts.
'If there is a persistent weakness of the dollar, that may be a flight towards gold and towards cryptocurrency... but it can be much more massive if fear starts to grow onto the market.'
What happens next?
Ghosn, now in his seventies, remains a forceful presence in global business circles. While confined to Lebanon, he continues to mentor startups and consult on strategic growth.
He also weighed in on the changing political atmosphere in Lebanon, where a new government led by Prime Minister Nawaf Salam has stirred hopes of economic and administrative reform.
'Lebanon today is better than what Lebanon was a few months ago because the people of Lebanon gained trust into the new leadership that has been nominated.'
Asked what comes next, Ghosn stressed agility.
'What you cannot do is feed people with words and promises until the big wins come. People never wait.'
'You need to feed them first with quick wins. They are expecting concrete [results] that they see a modification, something for the better.'
Asked whether he would consider a political role himself, Ghosn was firm in his response.
'I'm a nonpolitical person. I'm absolutely not attracted by that.'
'In order to play in politics and to be successful, you need to like politics. And a lot of the reason I don't like politics is... I'm an engineer, and for me, the best road between two different points is a straight line. And you know that in politics it's never a straight line.' he joked.