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WASHINGTON – European negotiators will present several ideas to the Trump administration on Wednesday to facilitate a trade dispute with the United States, including a new deal with the world's largest auto exporters
]. President Trump, who has expressed skepticism over past trade pacts and called the European Union "enemy".
As the President of the European Commission, Jean-Claude Juncker, meets Mr. Trump in Washington on Wednesday, both
Trade is only a part of the friction, Mr. Trump being apparently determined to undermine a global system that has defined US relations with Europe for decades. Europe and the United States are now at the crossroads of the future of the international trading system, the Paris Agreement on Climate Change and their historic military alliance through the Middle East. of the North Atlantic Treaty Organization. The Trump Administration is attempting to impose or not high tariffs on foreign automobiles and auto parts that could disrupt the transatlantic supply chains and reshape the commercial ties upon which some of the larger ones depend. country of the world. . The administration has already hit Europe with penalties on its shipments of steel and aluminum, while deeply criticizing the World Trade Organization.
Europe reacted by imposing its own taxes on US goods and preparing retaliatory measures. industry. It also continues to forge closer commercial ties with other nations like Japan and China.
Companies that depend on supply chains that cross the Atlantic were caught in the middle of the trade conflict, with warnings from both sides. General Motors and Daimler, major employers in the United States, said the rates could result in job losses.
Emboldened by a strong economy and a resilient domestic stock market, Mr. Trump showed no signs of retreating.
"The tariffs are the best!", Wrote Tuesday the president on Twitter. "Either a country that has treated the United States unfairly on trade is negotiating a fair deal, or it is hit by tariffs." It's as simple as that – and everyone is talking! Remember, we're the "piggy bank" which is stolen, everything will be fine! "
" The European Union arrives tomorrow in Washington to negotiate an agreement on trade ", he writes later in another tweet. "I have an idea for them – the US and the EU remove all tariffs, barriers and subsidies!" It would eventually be called Free Market and Fair Trade! I hope they will, we are ready – but they will not do it! "
At a press briefing on Tuesday, a senior European official denied that tariffs had made the bloc more willing to negotiate. But the official said the Europeans were eager to find a course of action that could free both sides of a "downward spiral" of tariffs and retaliation.
But he added that the Europeans had not yet received a clear indication from the Americans. main objective, that it is to reduce tariffs on automobiles or reduce the US trade deficit with Europe. He said people were struggling to understand the government's trading strategy, and whether it would change its approach overnight.
During his visit, Mr. Juncker is ready to discuss two options for the business relationship, the official said, the two Europeans have already floated with the United States. The first is an agreement that would require all major global exporters of automobiles to reduce their tariffs on foreign cars. The second calls for a limited trade agreement between Europe and the United States centered on industrial goods.
The President's criticisms of Europe have often focused on his trade surplus with the United States, as well as on the tariff of 10%. American cars, compared to the 2.5% collected by the United States. Europeans say the United States applies a 25% duty on trucks and higher duties on many other products.
If the European Union lowered its tariffs on US automobiles, it should offer the same tariff. the World Trade Organization. The conclusion of an agreement between the world's major automakers would allow countries like Japan and South Korea to make concessions in exchange for expanded access to the European market, the official said.
a more limited free trade agreement with the United States focused on industrial products, said the official. Secretary of Commerce Wilbur Ross had previously proposed such an agreement with EU Trade Commissioner Cecilia Malmstrom.
According to the official, these offers were conditional on the removal of tariffs on steel and aluminum.
But some economists have insisted on caution about the prospects for an agreement. Mr Trump criticized past trade negotiations with several countries, saying he prefers bilateral negotiations. His administration also put an end to broader trade discussions that the Obama administration was conducting with the European Union, which included a proposal to reduce European car rates to zero.
Eswar Prasad, economist at Cornell University, suggested that Mr. Trump's tweets that he was not in the mood to make concessions, which means that 39 it is unlikely that there is a clear path to a negotiated settlement.
"Trump still seeks capitulation of the EU" A version of this article is printed on on page B 1 of the New York Edition ] with the title: Europe, in the offer to relieve tension, will offer business ideas to a skeptical badet . Order copies | Paper of today | Subscribe
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