Auto tariffs could lead to $300B retaliation — European Union warns Trump

Auto tariffs could lead to $300B retaliation — European Union warns Trump

The EU, which described the move as "pure protectionism", introduced duties on US products in return, as did Mexico, Canada, Turkey and India. It calculated that a 25 percent tariff would have a negative impact of $13 to $14 billion on the US gross domestic product initially.

"It is bad what they do to us", Trump said in a television interview Sunday, citing trade deficits and "the vehicle situation".

"We'll spare no effort, be it at the technical or political level, to prevent this from happening", a spokesman for the Commission told reporters, adding that Commission President Jean-Claude Juncker's trip to Washington later this month would seek to stop any new United States tariffs.

White House spokeswoman Sarah Huckabee Sanders said Monday that previous trade deals have hurt the U.S.

For example, when Trump initially chose to start slapping tariffs on foreign governments' goods, White House trade czar Peter Navarro said he didn't think any country would retaliate.

For example, almost $4 billion worth of exports from Texas could be targeted by retaliatory tariffs, the Chamber said, including $321 million in meat the state sends to Mexico each year and $494 million in grain sorghum it exports to China.

The EU sent comments to the US for consideration in the Department of Commerce investigation into whether auto imports pose enough of a threat to USA national security to justify tariffs and estimating the economic impact. The United States has threatened to impose duties on up to $450 billion of Chinese imports, with the first $34 billion portion set to go into effect on July 6.

EU countries approved a raft of tariffs on Thursday (14 June) targeting United States goods including whiskey and motorcycles in retaliation against painful duties imposed by President Donald Trump on European metals.

As for ZTE, the Chinese telecommunications company, lots of industry watchers, including Kleintop of The Charles Schwab Corporation (SCHW), think that if ZTE is once again allowed to purchase US equipment, it could ratchet down the tensions between the two countries. Benchmark U.S. crude added 85 cents to $74.79 a barrel in electronic trading on the New York Mercantile Exchange.

"The very real threat of the current trade dispute with the USA escalating further means that Europe's manufacturers are likely to have to negotiate stormy waters for the rest of year". "They made past year 151 billion dollars in trade surplus". Any tariffs on European Union cars would hit Germany hard.

The US tariff on Chinese goods is threatening jobs at the Moog synthesiser company. "We cant send our cars and if we do they charge many, many times the tax that we stupidly don't charge".

President Donald Trump cited national security concerns for the previous tariffs.

ENERGY: Oil futures recovered from the previous day's downtick, after Trump claimed that Saudi Arabia could produce up to double of the 1 million barrels-a-day increase agreed by OPEC countries.

Trump has said that allies such as the European Union are "as bad as China" on trade.

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