President Donald Trump proved himself once again as a “man of action” in a “town of talk” by gaining major trade concessions on Wednesday with European Commission President Jean-Claude Juncker, according to Kellyanne Conway.
European Commission President Jean-Claude Juncker and Donald Trump after they reached “a deal”.
“Certainly with the agricultural products, I think Trump has got himself into some problems domestically, with the knock-on effect of Chinese retaliatory tariffs on soybeans and some meat products, and this was starting to rebound on him”, Horseman said.
He later told reporters that was a “major concession” on Trump’s part and that he expected the United States president to follow through on it.
“We knew this wasn’t an academic seminar.It had to be very simple”, said an European Union official on using colorful cue cards to explain complex trade points to President Donald Trump.
The US administration has already applied high tariffs to European Union steel and aluminium exports, and is embroiled in a trade war with China.
The Chinese tariffs mainly affect farmers and graziers in the American Midwest – a key constituency for Trump and the Republicans. USA companies earn more than twice as much exporting goods to the European Union as they do exporting to China.
In Dubuque, Trump described the agreement as “no tariffs, no nothing, free trade”.
The US truce with Europe is likely to embolden Mr Trump to increase his pressure on China, said senior economist Chua Hak Bin of Maybank Kim Eng Research in Singapore.
“China is targeting our farmers, who they know I love and respect, as a way of getting me to continue allowing them to take advantage of the US”, Trump wrote on Twitter. U.S. stocks and bond yields rose on signs of optimism that a U.S. -EU trade war could be avoided.
Germany unsurprisingly hailed the decision, given that its auto industry was the first in line to be punished by Trump’s protectionist offensive.
Early in the week, the Trump administration came under fire after announcing a $12 billion subsidy program for farmers, especially soybean farmers, hurt by its own trade policies. “That would be very worrisome, that would be rewarding Trump threats on tariffs”, said Rem Korteweg, head of the Europe in the World unit at think-tank Clingendael.
Trump said officials are looking to reduce “bureaucratic obstacles”, work toward reform of the World Trade Organization, and limit unfair market practices.
“The aim is to figure out what the ask is; we don’t yet have a clear picture of what the administration wants”, the official said.
That deal fell apart quickly and has been replaced with a rising tally of tariff retaliation that has led to Trump threatening tariffs on nearly everything the United States imports from China.
After a meeting in Washington on Wednesday, the two agreed to launch a “new phase” in relations and work towards zero tariffs.
Trump says the European Union will become a “massive buyer” of liquified natural gas to help diversify their energy supply.
Iowans overwhelmingly voted for President Trump, but Clark Porter, whose family has farmed here for over a century, wasn’t one of them.