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Trump threatens tariffs on EU if no trade deal reached
WASHINGTON, Feb 21, 2019 (BSS/AFP) – US President Donald Trump threatened
Wednesday to impose tariffs on European auto imports if he is unable to
strike a trade deal with the EU.
“We’re negotiating. If we don’t make the deal, we’ll do the tariffs,” Trump
told reporters in response to a question on new tariffs.
Trump’s renewed threat against the EU auto industry takes on a new edge as
it came two days after the Commerce Department delivered a report that
sources said found European car imports constitute a national security threat
to the United States.
The report could set the stage for the White House to impose tariffs within
90 days, a move Brussels has vowed to parry with its own set of counter-
tariffs.
Washington already has used the national security argument to impose steep
tariffs on steel and aluminum imports, drawing instant retaliation from the
EU, Canada, Mexico and China.
In one of many aggressive moves against US trading partners, Trump, who
boasts that he favors tariffs, has threatened 25 percent duties on European
autos, especially targeting Germany, which he says has harmed the American
car industry.
Trump reached a truce with the EU following a meeting last July with
European Commission President Jean-Claude Juncker but on Wednesday expressed
frustration with the state of talks.
“We’re trying to make a deal,” Trump said. “They’re very tough to make a
deal with, the EU. They’ve been very difficult over a period of time, over
many, many years.”
However, negotiations with the EU have not yet begun. The European
Commission must seek approval from member states on a negotiating mandate
before it can enter into talks. EU trade ministers will meet in Bucharest on
Thursday and Friday to review the proposal.
But the sides have differences over what is to be included: the US
negotiating goals include agriculture, while EU officials insist that will be
off limits, and talks will be restricted to industrial goods and regulatory
issues.
The White House is also locked in tough, high-stakes negotiations with
China to find a way to resolve the conflict that saw punishing tariffs
exchanged between Beijing and Washington.
BSS/AFP/FI/ 0814 hrs