Auto tariffs could lead to $300B retaliation — European Union warns Trump

A tariffs war could adversely affect those jobs in a region known for its support of the USA president.

Trump said last week that the government was completing its study and suggested the US would take action soon, having earlier threatened to impose a 20 percent tariff on all EU-assembled cars.

Trump's government is threatening to raise tariffs for EU-made cars to 20% to "rebalance" the EU's 10% tariff on cars imported into its region. The Shanghai Composite index sank 1.3 percent to 2,740.26. Australia's S&P/ASX 200 bucked the regional trend, adding 0.4 percent to 6,205.10, ahead of an interest rate decision by the Reserve Bank of Australia later Tuesday.

Coming up today, the Reserve Bank is expected to keep official interest rates on hold for yet another month with the post-meeting statement to be carefully scrutinised. Taiwan's benchmark fell and Southeast Asian indexes were mixed.

WALL STREET: Major U.S. benchmarks closed higher Monday, buoyed by a last-minute rally from technology companies.

The Dow Jones was 0.7% down as it opened for the first trading day of the second half of the year. The Nasdaq composite jumped 0.8 percent to 7,567.69.

The European Union, Canada and Mexico - all subject to tariffs on steel and aluminum exports to the usa - have also started imposing duties on American goods in response.

The European Commission said the USA investigation into auto imports "lacks legitimacy, factual basis and violates global trade rules". The EU had calculated that a 25% tariff would have an initial US$13-14 billion negative impact on USA gross domestic product with no improvement to its current account balance.

WATCH the moment notorious French gangster makes helicopter jailbreak
French police are also investigating the possibility that Faid may now be disguised as an Orthodox Jew and on his way to Israel. He was on the run for six weeks and had changed his appearance before police captured him in a hotel with an accomplice.

The Chamber, the nation's largest business lobbying group and a traditional ally of Trump's Republican Party, said the White House is risking a global trade war with its push to protect USA industry and workers with tariffs.

In May, Mr. Trump ordered an inquiry into the possibility of imposing tariffs on vehicle imports. It won't target 284 additions, worth $16 billion, until it gathers further public comments.

President Donald Trump isn't backing off on plans to levy billions of tariffs on steel and aluminum despite challenges from seven members of the World Trade Organization, The Hill reports.

Canada's retaliatory tariffs take effect Sunday against American products including Florida orange juice, ketchup and Kentucky bourbon.

Affected exports to the European Union, $133 million, include beauty products. Crude oil traders should pay more attention to demand headlines over the near-term especially if the tariffs start to cause economic damage in China.

Mr Trump tweeted on the weekend that Saudi Arabia's King Salman bin Abdulaziz Al Saud had agreed to pump more oil, "maybe up to 2,000,000 barrels".

White House spokeswoman Sarah Huckabee Sanders said Monday that previous trade deals have hurt the U.S. Westpac forecasts they will fall by 4.0 per cent in May. The euro slipped to $1.1631 from $1.1639.

Recommended News

  • Trump issues WTO warning in meeting with Dutch leader

    The Netherlands' leader will be at the White House amid trade tensions involving the United States and a number of allies. The EU has been engaged in a dispute with the USA over the steel and aluminium tariffs, which were introduced on June 1.
    BS Meter on Latest LeBron James Free-Agency Rumors and More

    BS Meter on Latest LeBron James Free-Agency Rumors and More

    ET Sunday, the Cleveland Cavaliers will not meet in person with LeBron James or his representatives, sources told ESPN ". Rich Paul informed the Cavaliers on Friday that he would not opt-in to his $35.6 million contract for the 18-19 season.
    Steve Smith in the thick of the action on cricket comeback

    Steve Smith in the thick of the action on cricket comeback

    Former Australian cricket great and commentator Dean Jones said that "Smith just wants to get back to playing the game he loves". Evin Lewis led the charge for the Knights as they amassed a sizeable total of 4-227 from their 20 overs.
  • Comcast alerts Xfinity Mobile customers of increased video and hotspot restrictions

    The operator added that, later this year, it will allow customers to pay extra to stream video at 720p resolution. One Comcast customer forwarded the email to Ars, and there's also a Reddit thread discussing the email.
    Amazon announces Prime Day 2018 with more than one million deals

    Amazon announces Prime Day 2018 with more than one million deals

    To entice new buyers and keep current members coming back, Amazon is introducing a handful of new features to this year's event. Echo Show - Save $100 on Echo Show , which brings you everything you love about Alexa, and can show you things.
    NBA free agency rumors: Chris Paul will re-sign with Rockets

    NBA free agency rumors: Chris Paul will re-sign with Rockets

    Golden State will enter the 2018-19 season as the favorites once again, but Houston can not be counted out. There has been speculation that Paul's friendship with LeBron James could sway the league's best player.
  • Former Malaysian premier Najib to be charged Wednesday in graft probe

    Red Granite agreed in March to pay the USA government $60m to settle claims it benefited from the 1MDB scandal. Alleged corruption at the 1MDB fund helped bring on the unexpected defeat of Najib's coalition in May 9 polls.
    BREXIT ALLIANCE: Tesco and Carrefour team up for French-English shopping partnership

    BREXIT ALLIANCE: Tesco and Carrefour team up for French-English shopping partnership

    The proposed link between Tesco and Carrefour reflects the two companies' own retreat from worldwide expansion. It is anticipated that the alliance will be formally agreed within the next two months.

    Roger Federer debuts Uniqlo outfit at Wimbledon, 20-year Nike relationship collapses

    Uniqlo doesn't make tennis footwear, so Federer wore white Nike shoes with light blue swooshes on Monday. "Mr. The "RF" logo did appear on the plastic bags that cover his rackets.
  • Woman stalked by USA  newspaper shooter lived in fear of attack

    Woman stalked by USA newspaper shooter lived in fear of attack

    He has also repeatedly referred to the media as "Fake News" and has also called the media "the opposition party in many ways". Trump had ordered US flags lowered after mass-casualty school shootings in Texas and Florida earlier this year.
    Former Malaysia PM Najib arrested amid graft probe

    Former Malaysia PM Najib arrested amid graft probe

    Riza was solemn as he arrived at the anti-graft office Tuesday and didn't speak to reporters. Department of Justice allege that almost $4.5 billion was misappropriated from 1MDB.
    Golden State Warriors sign Demarcus Cousins, Lakers add Rondo

    Golden State Warriors sign Demarcus Cousins, Lakers add Rondo

    Next up, Los Angeles had to figure out what to do with its biggest restricted free agent: Julius Randle . Randle averaged 16.1 points, eight rebounds, and 2.6 assists in all 82 games with the Lakers last season.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.