By Lorne Cook and David Mchugh, Associated Press
BRUSSELS (AP) – The European Union Executive Commission said Thursday that it would arouse reprisal measures for 90 days to match President Donald Trump’s break on his new prices on global business partners and leave room for a negotiated solution.
The president of the European Commission, Ursula von der Leyen, said that the commission, which manages the trade for the 27 member countries of the block, “took note of the announcement by President Trump”.
New tariffs on $ 23 billion in American products will be suspended for 90 days because “we want to give negotiations a chance,” she said in a statement.
But she warned: “If the negotiations are not satisfactory, our countermeasures will trigger.”
Trump imposed a 20% levy on EU’s goods as part of its 10% tariff assault and up against global trade partners, but said on Wednesday that it would suspend them for 90 days to give countries a chance to negotiate solutions to US trade concerns.
The countries subject to the break will face a 10%Trump reference rate.
Before Trump’s announcement, EU member countries voted to approve a set of reprisal rates out of $ 23 billion in goods in response to its 25% prices on imported steel and aluminum that entered into force in March. The EU, the largest trading partner in the United States, described them as “unjustified and damaging”.
EU prices were to enter into force in stages, some on April 15 and others on May 15 and December 1. The EU Commission did not immediately provide a list of goods.
EU members – the world’s largest commercial block – said they prefer a negotiated agreement to resolve a trade war that damages the savings on both sides. The high sales manager of the block commissioned between Brussels and Washington for weeks trying to trigger a conflict.
Targeted goods are a small fraction of the annual trade of 1.8 billion of dollars in the United States. Some 4.4 billion euros in goods and services cross the Atlantic every day in what the European Commission calls “the most important commercial relationship in the world”.
The EU has targeted smaller lists of goods in the hope of exerting political pressure and avoiding economic damage of a greater climbing of Tit-For-Tat prices.
The EU also works on another set of countermeasures in response to the tariff of 20% of Trump on all European goods, now suspended. This could include measures intended for American technological companies and the service sector as well as the exchange of products.
However, Von Der Leyen said that Europe intended to diversify its commercial partnerships.
She said the EU will continue to “engage with countries that represent 87% of world trade and will share our commitment to a free and open exchange of goods, services and ideas” and to raise obstacles to trade within its own single market.
“Together, Europeans will emerge more from this crisis,” said Von Der Leyen.
MCHUL has reported in Frankfurt, Germany
Originally published:
California Daily Newspapers
