US Chamber Of Commerce Launches Campaign Against Trump Tariffs
Jul 04 2018
The European Union has condemned the Trump administration for considering tariffs on motor imports, saying they could lead to global retaliation against 300 billion dollars (£230 billion) in United States goods. He also hinted that he might enact additional tariffs on Mexico, which on Sunday elected left-leaning Andrés Manuel López Obrador, who is to take office in December.
The report assesses the immediate damage to the U.S. economy at $13 billion to $14 billion, with much larger indirect costs from retaliatory measures by the United States' trading partners. The Peterson Institute for International Economics calculates that 85 percent of the Chinese products to be hit by the initial Trump tariffs are machinery and components used in finished goods made in the United States. "We don't think a lot of the July 6 tariffs have yet to be fully priced into the market".
"Canada, Mexico, the EU (European Union), and China have already retaliated - or announced plans to retaliate - with billions of dollars in tariffs on American-made products", the business group said, adding approximately 75 billion us dollars worth of USA exports will be subject to retaliatory tariffs as of this week.
"This" in this instance is an attempt to raise tariffs against multiple trade partners at the same time.
Economists at Bank of America Merrill Lynch have warned that a full-fledged trade war, especially one that lasts more than a year, would slow the US economy.
According to the organization, half of all US manufacturing jobs depend on exports, and 1 in 3 acres on USA farms produce crops for the global market.
The EU's retaliatory action came after the Trump's administration hit Europe, Canada and Mexico with tariffs on aluminum and steel on June 1. All six states went to Trump in the 2016 presidential election.
"The administration is threatening to undermine the economic progress it worked so hard to achieve", said Chamber President Tom Donohue in a statement.
Dutch Prime Minister Mark Rutte on Monday said Trump's tariffs against European goods were "not positive", while Trudeau last month said he had "made it very clear to the president that it is not something we relish doing, but it is something that we absolutely will do, because Canadians, we're polite, we're reasonable, but we also will not be pushed around". Canada has retaliated against Trump. "I want to make it more fair, OK?"
"As a general rule in business, you take care of your customers, and especially your best customers", the policy expert said.
"We should de-dramatize these relations", Juncker told a press conference following a European Union summit on Friday, the same day the letter was delivered to Washington. Imports help companies lower costs and improve product quality, allowing them to remain competitive domestically and export globally. Now in all fairness they have their farmers. And this means things could get worse, before they get better.