Trump threatens to impose 25 percent duties on European cars

Trump threatens to impose 25 percent duties on European cars

January 22, 2020 0 By autotimesnews

The US President said that after it was possible to reach an agreement on trade issues with China, he will deal closely with Europe.

US President Donald Trump repeated his last year’s threats to the European Union, the meaning of which is that if the EU does not make trade concessions, the United States will impose 25 percent duties on European cars.

“It is more difficult to deal with the European Union than with anyone. They have been using our country for many years, ”Trump said in an interview with Fox Business News on the sidelines of the World Economic Forum in Davos. “In the end, it will be very easy, because if we cannot make a deal, we will have to set 25 percent tariffs on their cars,” he said.

Trump added that now his attention will be turned to Europe after he concluded a trade truce with China after several years of trade war, which destabilized the world economy. “I wanted to wait until I finish with China … I did not want to negotiate with China and Europe at the same time.”

Trump’s comments followed a warning from US Treasury Secretary Stephen Mnuchin that Washington would impose tariffs on cars if Europeans impose a digital tax, which is mainly for US companies.

“If they want to arbitrarily levy taxes from our digital companies, we will consider the arbitrary levy of taxes from car companies,” Mnuchin said in a panel discussion at the four-day festival.

EU-US trade relations deteriorated shortly after Trump took power three years ago. First, the US president introduced tariffs on steel and aluminum imports from the EU, which was answered in Europe by duties on cult goods in the USA, including denim jeans and motorcycles.

Trump then threatened duties on European cars, which is of particular concern to Germany.

Trump’s comments came the day after he said he had a positive meeting with the new president of the EU Commission, Ursula von der Leyen, on working to achieve a trade agreement between the US and the EU.

The US Senate voted this month to approve a new trade agreement linking the United States, Canada, and Mexico. The United States and China also signed the long-awaited, albeit partial, agreement to ease trade friction.