The governor of Norway's central bank has said that global trade tensions are giving him cause for concern.
The U.S. president Donald Trump ignored warnings of a damaging trade war with China on Thursday, vowing an additional $100 billion of tariffs. Trump originally asked for $50 billion worth of Chinese goods to be punitively taxed, but has now doubled-down after Beijing threatened its own levy on 106 US produced items.
Oystein Olsen, governor of Norges Bank, told Squawk Box Europe on Friday that there was some alarm at the tit-for-tat exchanges between the world's two biggest economies.
"I think I join most economists around the world, especially governors of central banks, in saying that, yes, this is a worry," he said.
Olsen said he believed that common sense would prevail between the two powers and that the "major mistakes of the 1930s" would be avoided.
Olsen added that he would not take a stand on the current trade spat but was optimistic that the Chinese were becoming better at adopting international trade rules.
"Gradually, I think, my view is that China step by step moves in the direction. It has taken time and U.S. authorities have been impatient, but now I think things are turning around," he said.