Trump Says He'll Weigh Europe Auto Tariffs Without Trade Deal

U.S. and Chinese flags

U.S. and Chinese flags

President Donald Trump and Chinese Vice Premier Liu He shake hands after signing a U.S. China trade agreement, in the East Room of the White House, Wednesday, Jan. 15, 2020, in Washington. "They've taken advantage of our country. for many, many years".

"Trump has always been lamenting about the trade imbalance with Europe and this could be another card to play during the presidential election year", said Michele Pedroni, fund manager at Decalia in Geneva. He's for China, I'm for the USA, but other than that we love each other.

President Trump is touching on the potential impacts of the new Phase One trade deal with China.

Trump made clear at the World Economic Forum in Davos, Switzerland, this week that his administration will move aggressively to negotiate a trade deal with Brussels.

There's no shortage of issues which could trigger a fresh trade row between the continent and the United States, from plans for a tax on big digital companies like Amazon and Facebook and subsidies for Airbus, to the involvement of China's Huawei in building 5G networks and different approaches to tackling Iran's nuclear program. "They shouldn't be, but if they are, we are", Trump had said at Davos.

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Washington complaints included theft of trade secrets, theft of intellectual property and the forced transfer of USA technology to China.

The Trump administration has made a similar threat to European Union member states - tariffs potentially as high as 25 percent on vehicles imported into the USA and up to 100% on luxury goods such as champagne. "And I would be very surprised if I had to implement the tariffs". "Now, saying that, I don't want your audience to get nervous". Since then, Trump has repeated his offer many times, including on Tuesday, but New Delhi has firmly rejected them. I wanted to wait till I finished China.

Trump complained that European Union countries have been exporting significantly more into the US than the other way around. That left a trade deficit of $169 billion in 2018.

Von der Leyen said the USA and European Union "never should forget" their "long history of common foundation". The "phase one" deal opened up a pledge made by China, to purchase at least an additional $12.5 billion worth of agricultural goods in 2020 and another $19.5 billion over the 2017 level of $24 billion in 2021. "We're not letting that happen anymore.Everybody is growing but us", he had said.

"But the World Trade Organisation has been very unfair to the United States for many, many years".

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