Trump gets his big moment to boast about trade war

Trump I open up Europe for US farmers

Trump I open up Europe for US farmers

Zero tariffs. Wednesday's breakthrough with the European Union shows that, contrary to what his critics allege, Trump is not a protectionist; rather, he is using tariffs as a tool to advance a radical free-trade agenda.

Trump on Wednesday was to meet European Commission President Jean-Claude Juncker, who has dampened hopes that their talks would resolve the trade dispute.

Trump and Juncker said the US-EU talks would seek to eliminate tariffs, trade barriers and subsidies for non-automotive industrial goods, and cut barriers to transatlantic trade in services, chemicals, pharmaceuticals and medical products.

They also agreed to increase trade in services and agriculture, including greater U.S. soy bean exports to the EU.

My research on worldwide trade suggests that a good way to analyze what's happening is not in terms of conflict but as a soccer match.

Juncker came to Washington for a last-ditch bid to avoid USA tariffs on cars.

So let's examine their game plans.

Flags for U.S. President Donald Trump's 'Keep America Great!' 2020 re-election campaign are seen at Jiahao flag factory in Fuyang, Anhui province, China July 24, 2018.

In an effort to rein in China's high technology industries that he charges have stolen intellectual property from American companies, Trump has ramped up threats of tariffs on $50 billion worth of imports from China to $450 billion after China retaliated with its own duties on imports from the United States. The EU was initially granted an exemption that expired in May. Canada initially threatened U.S. apple exports but the final list of products hit with tariffs excluded most fresh produce.

Trump had previously ordered the Department of Commerce to look into charging border taxes of up to 25 percent on vehicles from the European Union and it was yet unknown if the United States would close the process. Both sides agreed to work to decrease industrial tariffs and adjust regulations to allow U.S. medical devices to be traded more easily in European markets. The EU, naturally, disagrees, as evidenced by its complaint to the World Trade Organization.

The US and the European Union have stepped back from a possible trade war, with the announcement of a proposal to ease tensions and avoid more tariffs.

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The EU will also become "a massive buyer" of USA liquid natural gas, he said.

Now, Trump has enlisted the European Union to help USA soybean farmers to counteract the repercussions of Chinese tariffs, in addition to the $12 billion in aid he has promised for US farmers.

The increase in tariffs not only impacts the agricultural exports but also farming resources.

In May, the United States and China initially appeared willing to strike a deal that would see China reduce its $350 billion surplus in the trading of goods by buying more USA agriculture and energy products.

Rep. Roger Williams, R-Texas, was one of many Republican lawmakers to raise concerns about the Trump administration's trade policies on Thursday. This makes it more likely that it will yield to Trump's demands.

European Commission President Mr Juncker was accused of signing "the most one-sided deal in history" during his White House visit by ex-Europe minister Bruno Macaes.

Things could get worse if tariffs continue to bite US manufacturers and farmers who are already complaining loudly about increased costs and sagging prices for their exports.

In other words, halftime is nearly over, and the two teams will soon be on the field. Will Trump's strategy of divide and conquer continue to work?

A lot more is at stake in this game than a trophy and bragging rights.

Mr Smith added the United Kingdom needs to go to Brussels and demand what we want.

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