Trump brings hope in the trade dispute: EU discussions are imminent!
Trump brings hope in the trade dispute: EU discussions are imminent!
Vienna, Österreich - President Donald Trump was optimistic about the ongoing trade dispute with the European Union (EU). According to a current notification of vienna.at , EU representatives have already contacted to set appointments for possible meetings. Trump judges this as a positive step and expresses hope that the EU could rethink its trade restrictions towards the United States.
In the same message, however, Trump emphasizes that he is willing to determine specific trade conditions for access to the US market if no agreement is reached by July 9 or that the USA is treated unfairly. Despite his aggressive rhetoric, he recently threatened 50 percent of European goods, which were originally supposed to come into force from June 1st, moved by more than a month.consequences of a trade conflict
simulations that consider hypothetical economic conditions under immediately introduced new tariffs show that a flat rate of 25 percent to EU goods could reduce exports to the United States by half in the long term. In particular, key industries, such as pharmaceuticals with a decline of 9.3 percent and the motor vehicle industry, which should expect 4.1 percent losses.
strategies for reducing the risks
The current situation illustrates how important it is for the EU to deepen its trade relationships with other free trade partners such as Canada, Mexico, Japan, South Korea and Vietnam. This strategy could help compensate for possible losses from threatened tariffs. In addition, measures to improve the transport infrastructure and to strengthen regulatory cooperation would be taken.
In the long term, this approach could prove to be an advantage for the EU by reducing the dependency on US demand and extending exports to other markets. Simulations indicate that this procedure could neutralize the economic damage caused by a customs conflict and even lead to GDP growth in the EU member states.| Details | |
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| Ort | Vienna, Österreich |
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