European Union warns Donald Trump he risks $294bn trade tariff reprisals

European Union warns Donald Trump he risks $294bn trade tariff reprisals

European Union warns Donald Trump he risks $294bn trade tariff reprisals

The European Union today slammed the Trump administration for considering tariffs on auto imports, saying they could lead to global retaliation against some $300 billion in us goods amid signs of a brewing trade war.

The European Union warned the Trump administration that tariffs on imported cars on national security grounds would be illegal.

States with large automobile production facilities, such as SC, are among the most exposed to the tariffs, according to Bloomberg News.

Trump has slapped tariffs on billions of dollars worth of steel and aluminum imports from China, the European Union, Canada and others, prompting retaliation against U.S. products. The EU, Mexico, Canada, Turkey and India introduced duties on USA products in return.

The EU regards national security arguments as nonsense: In its report, the European Commission warned the United States government that the move would be unacceptable. After receiving public feedback, the administration cut 515 imports from the blacklist and added 284 others.

Such a war could cost jobs, Bracken said.

Dutch Prime Minister Mark Rutte interrupted Donald Trump on Monday, saying "No" when the USA president claimed that failing to reach a deal on European Union trade would be "positive".

Also on Friday, the European Union enacted tariffs Friday on more than $3 billion worth of USA goods including bourbon, yachts and motorcycles.

Trump has previously been persuaded to back off of trade threats with the argument that states that backed him in the 2016 presidential campaign will be hit hard.

More news: French convict escapes from prison using a helicopter

According to a report in the Financial Times, a letter sent by the European Commission to the US Department of Commerce says the EU could hit $US300 billion of US goods with tariffs if Trump follows through on his threats to place big taxes on European vehicles being imported in the US.

"European cars do not threaten or impair the health of the US industry and economy", Schinas said. If the USA starts taxing Chinese imports Friday, Beijing plans to impose 25 percent tariffs on 545 us products worth $34 billion a year - from soybeans and lobsters to sport-utility vehicles and whiskey.

"We did retaliate against the American steel and aluminum tariffs - and we did so outside the framework of the [World Trade Organization], at least initially".

The European Commission said the U.S. investigation into auto imports "lacks legitimacy, factual basis and violates global trade rules", according to CNN Money.

Canada's retaliatory tariffs take effect Sunday against American products including Florida orange juice, ketchup and Kentucky bourbon. He noted that European carmakers create over half a million jobs in the U.S.

Trump has defended the policies, arguing last month the tariffs are necessary because the being "ripped off by other countries".

"China wants the European Union to stand with Beijing against Washington, to take sides", said one European diplomat.

Canada has the rate on 6.8% of tariff lines.

Related news

[an error occurred while processing the directive]