Musk urges zero-tariffs: revolution for transatlantic trade!
Musk urges zero-tariffs: revolution for transatlantic trade!
In a remarkable approach, Elon Musk, CEO of Tesla and consultant by US President Donald Trump, presented his vision for a transatlantic free trade zone without tariffs. According to Vol.at , he commented on a video of the Italian ruling party Lega in Florence, Italy. Musk advocates a "zero-inch situation" between North America and Europe, which is in strong contradiction to Trump's recent customs plans that go hand in hand with drastic punishment on EU imports.
Trump has introduced a new customs package that provides for penalty tariffs from 20 percent on imports from EU countries next Wednesday. In his speech, Musk put the idea of a closer transatlantic partnership in the foreground, while noting that existing tariffs could increase the production costs for Tesla, as analysts warn
Economic developments come at a time when numerous demonstrations against customs policy take place in the United States. The pressure on the government, which deals with the unrest on the stock exchanges increasing due to the tariffs, grows. Nevertheless, Trump remains with his customs policy, which he considered necessary to achieve market advantages for American producers. He accuses international partners of "pulling over the table" and mobilizing the population to persevere and hoping for a "historical end result". In the discussion about tariffs and free trade, it is important to understand how they fit into the global context. Since the 1950s, tariffs have been gradually reduced worldwide to promote trade. Deutschlandfunk describes that theory is stated that wealth is maximized if trade restrictions are reduced. Despite this conviction, experts observe a trend towards protectionism, especially since the financial crisis in 2008/2009, and warn of the possible negative effects of tariffs on consumer prices and complex supply chains. Musk discussed his steadfast positions with Matteo Salvini, the vice -leader leader of Italy and the head of the Lega, who stands for re -election as chairman. Other right -wing populist politicians such as Viktor Orban and Santiago Abascal are also expected at the party conference. This reflects the debate about tariffs and free trade not only economic, but also deeper political currents that could affect transatlantic relationships. The tightened customs policy under Trump is in contrast to the efforts of large trading alliances, including the world trade organization (WTO), which aims at reducing tariffs. The trade conflict, in which tariffs are used as a political means of pressure, could also complicate the negotiations on agreements such as TTIP that have been on ice for years. Musk’s vision of a “zero-inch situation” could therefore not only be seen as an opportunity, but also as a challenge for the future trade landscape between Europe and the USA. political context and demonstrations
international reactions and outlook
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| Ort | Florenz, Italien |
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