China presses Europe for anti-US alliance on trade

Mexico's peso rose following a sweeping victory for leftist Andres Manuel Lopez Obrador in the country's presidential election

Mexico's peso rose following a sweeping victory for leftist Andres Manuel Lopez Obrador in the country's presidential election

According to the U.S. Chamber of Commerce, of the 10 states that will be hit the hardest by the tariffs, only Washington and California voted against Trump in the presidential election.

The Reuters report notes that China's tariffs against the us, imposed in retaliation to Trump's enforcement of duties on Chinese goods, have already negatively affected BMW.

The EU sent comments to the USA on whether auto imports pose enough of a threat to US national security to justify tariffs and estimating the economic impact.

As well as the tariff threats, the European Commission is also believed to have warned Trump that his behaviour could "result in yet another disregard of global law" by the USA, as well as saying that any auto tariffs would "damage further the reputation" of the country. The three Texas industries facing the biggest risk are all big traders with Canada, which has announced $12.6 billion in retaliatory tariffs against American-made products since Trump placed new tariffs on its aluminum steel.

Trump went on to say "we also love the European Union" and point out that his parents were born within the area now encompassed by the European Union, before those countries were a part of the European Union.

The bloc argues that for some goods, such as trucks, USA import duties are higher.

Trump has defended the policies, arguing last month the tariffs are necessary because the U.S.is being "ripped off by other countries". "But we don't protect ours and they protect theirs", he said.

Trump on Wednesday said he supported tougher restrictions on foreign investment in sensitive technology, as well as export controls on those goods, but he stopped short of imposing specific restrictions on China.

The potential new European Union measures would apply "across sectors of the USA economy", the letter stated.


Assuming counter-measures along the lines of those taken in response to existing USA import tariffs on steel and aluminium, up to US$294 billion of United States exports - 19% of overall U.S. exports - could be affected, the submission said.

"We'll spare no effort, be it at the technical or political level, to prevent this from happening", said a spokesman for the European Commission, the EU agency that handles trade. China, which has announced tariffs on $34 billion in American goods, is a critical soybean market for US producers.

A detailed study by the U.S.

"Chinese M&A of USA firms peaked in 2016 and fell sharply a while ago", said Jeffrey Kleintop, chief global investment strategist at Charles Schwab, in an email interview with Investopedia.

While he has threatened auto tariffs, Trump has not yet followed through on them.

The EU has been engaged in a dispute with the United States over the steel and aluminium tariffs, which were introduced on June 1.

China is expected to impose a new 25 per cent tax on soybeans in July. China has threatened to retaliate in kind with its own tariffs on USA agricultural products and other goods. "We cant send our cars and if we do they charge many, many times the tax that we stupidly don't charge".

Its ironic that the protectionist concept of trade tariffs will essentially threaten jobs in the United States, as usual in any conflict, trade or otherwise, there is always "collateral damage".

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