US President Donald Trump imposes 30 percent tariffs on imports from the EU from August 1st.
The Republican wrote this on his Truth social platform.
Zollhammer meets Europe and Mexico at the same time
Donald Trump dramatically tightens his trading policy course. The US President announced by publishing the letter from 1 August to raise import duties from 30 percent on goods from the European Union and Mexico. This announcement was made via Trump’s own social media platform and represents a significant increase compared to the 20 percent previously located in the room. Customs measures come despite ongoing negotiations between Brussels and Washington, which actually had an agreement.
EU efforts to unite remain unsuccessful
The EU had reaffirmed its willingness to negotiate on Friday. Despite these efforts, the hoped -for breakthrough failed. Trump had initially set a deadline until July 9, then extended it to August 1st – only to announce the harder tariffs now. Trump was asked by a journalist on Monday whether he was optimistic to achieve a possible deal with the European Union. He had replied that one was probably removed from an agreement for two days. Already on Thursday he announced to NBC News that the EU would receive a letter “today or tomorrow” with details on new tariffs.
Global customs offensive hits numerous trading partners
The measures against the EU are not alone. Trump had already announced new tariffs for several important trading partners, including Japan, South Korea, Canada and Brazil. The raw material market is particularly hard: a custom of 50 percent is to be introduced for copper.
This comprehensive customs offensive signals a fundamental realignment of the US trade policy, which is based on confrontation instead of cooperation and could significantly burden global supply chains.
The United States is the most important trading partner for Germany. With his customs policy, the Republican wants to correct alleged trade weights and achieve that more is produced in the United States.
EU wants to continue negotiating
The EU Commission, which is responsible for customs negotiations with the USA, wants to continue to strive for a mutually acceptable solution to the trade conflict as long as possible. The letter from US President Donald Trump is taking note of a new duty and a new schedule, said Commission President Ursula von der Leyen. It was still ready to work on an agreement by August 1st.
The introduction of tariffs of 30 percent to EU exports would disrupt essential transatlantic supply chains – to the disadvantage of companies, consumers and patients on both sides of the Atlantic, added the German politician.
The Leyen emphasized that only a few economies worldwide would be open to fair trade practices in their openness and obligation at the same level with the European Union. The EU has always sought a negotiating solution with the United States.
At the same time, from the Leyen again pointed out that the EU will take countermeasures in the event of a lack of willingness to negotiate on the US side. In a first step, this should be particularly special tariffs on imports of US products into the EU.
Redaktion finanzen.net with dpa (afx)