Trade War? Europe, IMF And WTO All Voice Concern Over Trump Tariff Plan

Companies threatening higher prices, continents voicing concern. It is clear that President Donald Trump’s plan to impose tariffs on the imports of steel and aluminum in the US are having an effect around the world.

Certainly, the political ‘crocodiles’ in Europe have been taken by surprise. EU Commission President Jean-Claude Juncker is used to well-prepared speeches and dealing with reporters, not having to answer whenever Mr. Trump sends out a tweet about tariffs.

When a country Taxes our products coming in at, say, 50%, and we Tax the same product coming into our country at ZERO, not fair or smart. We will soon be starting RECIPROCAL TAXES so that we will charge the same thing as they charge us. $800 Billion Trade Deficit-have no choice!

— Donald J. Trump (@realDonaldTrump) March 2, 2018

So far, the three main bodies of the western world’s market that either trade or regulate trade with the US (the EU, the IMF, and the World Bank) have voiced their concern over Mr. Trump’s plan.

Related coverage: thegoldwater.com/news/19669-President-Trump-Announcing-New-Aluminum-and-Steel-Tariffs-to-Put-American-Industry-First

Mr. Jean-Claude Juncker (EU Commission President, pictured with US President Trump): "We are here and they will get to know us.”

"We would like a reasonable relationship to the US, but we cannot simply put our head in the sand."

“We will put tariffs on Harley-Davidson, on bourbon and on blue jeans,” European Commission President Jean-Claude Juncker said in retaliation to Trump's promised tariffs on aluminum and steelhttps://t.co/4WG9LKIuHM pic.twitter.com/iLaHfkt5EV

— POLITICO (@politico) March 2, 2018

"None of this is reasonable, but reason is a sentiment that's very unevenly distributed in the world.”

When directly asked whether a trade war with the US would be looming, Mr. Juncker stated: "I can't see how this isn't part of war-like behavior."

When a country (USA) is losing many billions of dollars on trade with virtually every country it does business with, trade wars are good, and easy to win. Example, when we are down $100 billion with a certain country and they get cute, don’t trade anymore-we win big. It’s easy!

— Donald J. Trump (@realDonaldTrump) March 2, 2018

WTO Director-General Roberto Azevedo chimed in as well: "The potential for escalation is real as we have seen from the initial responses."

And lastly, the IMF stated via their spokesman that: "The import restrictions announced by the US President are likely to cause damage not only outside the US but also to the US economy itself."

"We encourage the US and its trading partners to work constructively together to reduce trade barriers and to resolve trade disagreements without resort to such emergency measures."

Source:

dw.com/en/europe-pushes-back-against-donald-trumps-proposed-steel-and-aluminum-tariffs/a-42807578