{"id":41044,"date":"2018-07-31T11:41:52","date_gmt":"2018-07-31T01:41:52","guid":{"rendered":"https:\/\/www.aspistrategist.ru\/?p=41044"},"modified":"2018-07-31T13:15:59","modified_gmt":"2018-07-31T03:15:59","slug":"truce-for-now-the-eu-and-us-embrace-trade","status":"publish","type":"post","link":"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/","title":{"rendered":"Truce for now: the EU and US embrace trade"},"content":{"rendered":"
<\/figure>\n

The import and export of goods and services between the European Union and the United States forms the \u2018largest bilateral trade and investment relationship\u2019<\/a> on the planet. According to the European Commission, the US invests three times more in the EU than it does in Asia, and the EU\u2019s investment across the Atlantic is eight times what it spends in India and China combined. As close as the two are, the size of the relationship hasn\u2019t provided immunity from a White House that has been picking fights with, and imposing tariffs on, many of its economic partners.<\/p>\n

Last Wednesday, European Commission President Jean-Claude Juncker arrived at the White House to try and strike a deal with Donald Trump on trade to prevent tit-for-tat tariff escalations by the US and China. Following the meeting, the leaders announced<\/a> the beginning of \u2018a new phase in the relationship between the United States and the European Union\u2019.<\/p>\n

The joint statement declared that both sides want to \u2018resolve\u2019 reciprocally applied tariffs\u2014though they remain in place for now. In June, the US applied tariffs on steel and aluminium imported from the EU (and other countries), and in retaliation Brussels raised barriers for American exports to the continent (especially motorcycles, selected food and beverages, cigarettes and clothing<\/a>).<\/p>\n

The agreement has been dubbed by some as a breakthrough after weeks of negative comments from Trump towards the EU. He (falsely) claimed that the EU was founded to \u2018take advantage of\u2019<\/a> the US, and declared the EU to be a \u2018foe’ on trade<\/a>. \u00a0Others have pointed to the vagueness of the agreement and Trump\u2019s perceived unreliability, shown by the failed deal with the Chinese in May. Prior to meeting Juncker, Trump tweeted that countries that weren\u2019t interested in \u2018fair\u2019 trade deals would be hit with tariffs. After the meeting, Trump took to his favourite social media channel and shared<\/a> a picture of Juncker embracing him, claiming that both sides obviously \u2018love each other\u2019.<\/p>\n

The winners of the talks and agreements look to be<\/a> European car manufacturers. Shares of Volkswagen, BMW, Renault and others took a leap immediately after the meeting\u2019s agreements were announced, with some stocks gaining up to 5% in Europe. German politicians expressed relief, and Economics Minister Peter Altmaier<\/a> said the deal could avoid a trade war and save millions of jobs.<\/p>\n

Despite the buoyant stock market, the statement lacks detail. It\u2019s unclear whether Trump will refrain from applying 25% tariffs on European-produced cars entering the American market, and the steel and aluminium tariffs are still in place.<\/p>\n

German industry representatives greeted the news with caution. Dieter Kempf, the president of BDI (a German industry association), underlined<\/a> that the agreements in the joint statement must be followed with concrete action.<\/p>\n

There are also questions over different interpretations of the substance of the US\u2013EU deal on both sides of the Atlantic. Straight after the meeting with Juncker, Trump claimed<\/a> that the EU had agreed to \u2018start buying soybeans \u2026 immediately\u2019 and to buy \u2018vast amounts\u2019 of liquefied natural gas. However, the statement actually says:<\/p>\n

We will also work to reduce barriers and increase trade in services, chemicals, pharmaceuticals, medical products, as well as soybeans \u2026 The European Union wants to import more liquefied natural gas (LNG) from the United States to diversify its energy supply.<\/p>\n

Shortly after Trump\u2019s tweet, the EU Commission felt compelled to clarify<\/a> that the EU actually agreed to look into building more LNG terminals, not purchasing more LNG, and a senior commission diplomat told Der Spiegel<\/em><\/a> that the EU \u2018will not turn into a Soviet economy\u2019 and import more than it needs. French Finance Minister Bruno Le Maire said agricultural products would not be part<\/a> of any deal as food imports are subject to strict standards (for example, not being genetically modified).<\/p>\n

So it seems that a US\u2013EU trade war is on ice for now. But with Trump\u2019s Twitter tirades and backpedalling from other recent agreements, America\u2019s European partners are understandably cautious. A return to fierce words fired between Washington and Brussels and other capitals across the continent could quickly lead to the erection of new trade barriers. The Europeans saw what happened with China\u2014a truce was followed by Washington applying tariffs<\/a> in June. It remains to be seen whether the protectionist occupant of the White House will decide to use that approach with the EU.<\/p>\n","protected":false},"excerpt":{"rendered":"

The import and export of goods and services between the European Union and the United States forms the \u2018largest bilateral trade and investment relationship\u2019 on the planet. According to the European Commission, the US invests …<\/p>\n","protected":false},"author":679,"featured_media":41049,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"footnotes":""},"categories":[1],"tags":[1428,959,365,2228],"class_list":["post-41044","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-donald-trump","tag-eu","tag-trade","tag-trade-war"],"acf":[],"yoast_head":"\nTruce for now: the EU and US embrace trade | The Strategist<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Truce for now: the EU and US embrace trade | The Strategist\" \/>\n<meta property=\"og:description\" content=\"The import and export of goods and services between the European Union and the United States forms the \u2018largest bilateral trade and investment relationship\u2019 on the planet. According to the European Commission, the US invests ...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/\" \/>\n<meta property=\"og:site_name\" content=\"The Strategist\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/ASPI.org\" \/>\n<meta property=\"article:published_time\" content=\"2018-07-31T01:41:52+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2018-07-31T03:15:59+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.aspistrategist.ru\/wp-content\/uploads\/2018\/07\/3107trumpjuncker2.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"924\" \/>\n\t<meta property=\"og:image:height\" content=\"524\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Jacqueline Westermann\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@ASPI_org\" \/>\n<meta name=\"twitter:site\" content=\"@ASPI_org\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Jacqueline Westermann\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.aspistrategist.ru\/#website\",\"url\":\"https:\/\/www.aspistrategist.ru\/\",\"name\":\"The Strategist\",\"description\":\"ASPI's analysis and commentary site\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.aspistrategist.ru\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-AU\"},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-AU\",\"@id\":\"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/#primaryimage\",\"url\":\"https:\/\/www.aspistrategist.ru\/wp-content\/uploads\/2018\/07\/3107trumpjuncker2.jpg\",\"contentUrl\":\"https:\/\/www.aspistrategist.ru\/wp-content\/uploads\/2018\/07\/3107trumpjuncker2.jpg\",\"width\":924,\"height\":524},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/\",\"url\":\"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/\",\"name\":\"Truce for now: the EU and US embrace trade | The Strategist\",\"isPartOf\":{\"@id\":\"https:\/\/www.aspistrategist.ru\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/#primaryimage\"},\"datePublished\":\"2018-07-31T01:41:52+00:00\",\"dateModified\":\"2018-07-31T03:15:59+00:00\",\"author\":{\"@id\":\"https:\/\/www.aspistrategist.ru\/#\/schema\/person\/3b7d1fa6008b6d84a1c3f6d3e75b27b6\"},\"breadcrumb\":{\"@id\":\"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/#breadcrumb\"},\"inLanguage\":\"en-AU\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.aspistrategist.ru\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Truce for now: the EU and US embrace trade\"}]},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.aspistrategist.ru\/#\/schema\/person\/3b7d1fa6008b6d84a1c3f6d3e75b27b6\",\"name\":\"Jacqueline Westermann\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-AU\",\"@id\":\"https:\/\/www.aspistrategist.ru\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/3a4deca43cda437ef6be6cc8a4e7eaaf?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/3a4deca43cda437ef6be6cc8a4e7eaaf?s=96&d=mm&r=g\",\"caption\":\"Jacqueline Westermann\"},\"url\":\"https:\/\/www.aspistrategist.ru\/author\/jacqueline-westermann\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Truce for now: the EU and US embrace trade | The Strategist","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/","og_locale":"en_US","og_type":"article","og_title":"Truce for now: the EU and US embrace trade | The Strategist","og_description":"The import and export of goods and services between the European Union and the United States forms the \u2018largest bilateral trade and investment relationship\u2019 on the planet. According to the European Commission, the US invests ...","og_url":"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/","og_site_name":"The Strategist","article_publisher":"https:\/\/www.facebook.com\/ASPI.org","article_published_time":"2018-07-31T01:41:52+00:00","article_modified_time":"2018-07-31T03:15:59+00:00","og_image":[{"width":924,"height":524,"url":"https:\/\/www.aspistrategist.ru\/wp-content\/uploads\/2018\/07\/3107trumpjuncker2.jpg","type":"image\/jpeg"}],"author":"Jacqueline Westermann","twitter_card":"summary_large_image","twitter_creator":"@ASPI_org","twitter_site":"@ASPI_org","twitter_misc":{"Written by":"Jacqueline Westermann","Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebSite","@id":"https:\/\/www.aspistrategist.ru\/#website","url":"https:\/\/www.aspistrategist.ru\/","name":"The Strategist","description":"ASPI's analysis and commentary site","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.aspistrategist.ru\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-AU"},{"@type":"ImageObject","inLanguage":"en-AU","@id":"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/#primaryimage","url":"https:\/\/www.aspistrategist.ru\/wp-content\/uploads\/2018\/07\/3107trumpjuncker2.jpg","contentUrl":"https:\/\/www.aspistrategist.ru\/wp-content\/uploads\/2018\/07\/3107trumpjuncker2.jpg","width":924,"height":524},{"@type":"WebPage","@id":"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/","url":"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/","name":"Truce for now: the EU and US embrace trade | The Strategist","isPartOf":{"@id":"https:\/\/www.aspistrategist.ru\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/#primaryimage"},"datePublished":"2018-07-31T01:41:52+00:00","dateModified":"2018-07-31T03:15:59+00:00","author":{"@id":"https:\/\/www.aspistrategist.ru\/#\/schema\/person\/3b7d1fa6008b6d84a1c3f6d3e75b27b6"},"breadcrumb":{"@id":"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/#breadcrumb"},"inLanguage":"en-AU","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/www.aspistrategist.ru\/truce-for-now-the-eu-and-us-embrace-trade\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.aspistrategist.ru\/"},{"@type":"ListItem","position":2,"name":"Truce for now: the EU and US embrace trade"}]},{"@type":"Person","@id":"https:\/\/www.aspistrategist.ru\/#\/schema\/person\/3b7d1fa6008b6d84a1c3f6d3e75b27b6","name":"Jacqueline Westermann","image":{"@type":"ImageObject","inLanguage":"en-AU","@id":"https:\/\/www.aspistrategist.ru\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/3a4deca43cda437ef6be6cc8a4e7eaaf?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/3a4deca43cda437ef6be6cc8a4e7eaaf?s=96&d=mm&r=g","caption":"Jacqueline Westermann"},"url":"https:\/\/www.aspistrategist.ru\/author\/jacqueline-westermann\/"}]}},"_links":{"self":[{"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/posts\/41044"}],"collection":[{"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/users\/679"}],"replies":[{"embeddable":true,"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/comments?post=41044"}],"version-history":[{"count":9,"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/posts\/41044\/revisions"}],"predecessor-version":[{"id":41048,"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/posts\/41044\/revisions\/41048"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/media\/41049"}],"wp:attachment":[{"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/media?parent=41044"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/categories?post=41044"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.aspistrategist.ru\/wp-json\/wp\/v2\/tags?post=41044"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}