Observe internet news: in response to us tariffs on steel aluminium products, the european union has recently announced tariffs on products worth 2. 8 billion euros imported from the united states since 22nd of this month, while the eu “sword of revenge” has just come out, with us president trump 22 threatening to impose a 20 per cent tariff on cars imported from the european union, which, according to analysts, could further exacerbate trade disputes between the us and europe。
Trump: 20 per cent tariff on eu imports of automobiles
Trump wrote in the social media the same day that the united states would impose a 20 per cent tariff on cars imported from the european union if the eu did not remove the tariffs and barriers imposed on united states products as soon as possible. This is much higher than the current united states import duty of 2. 5 per cent on cars to the eu. As a result of this news, the stock prices of the public, the european automobile manufacturers daimler and bmw at the frankfurt exchange have fallen。
According to the united states media, the united states department of commerce plans to complete the investigation at the end of july or early august and submit policy recommendations to trump by november, which could eventually lead to the imposition of tariffs on imported vehicles by the united states government。
The threat of u. S. Auto tariffs is a source of concern for car manufacturers
The u. S. Automobile tariff threat has caused widespread concern among car manufacturers worldwide. Vice-president varela of volvo said at the inauguration of a new plant that would not be able to achieve maximum capacity if tariffs on imported cars and spare parts were raised in the united states, which was dependent on a free and open international trade environment if lower costs were to be maintained at the production-to-sales stage. The president of the german chamber of commerce and industry, schweizer, is also concerned that the united states is moving away from free and fair trade. He anticipated that the imposition of vehicle tariffs by the united states could lead to an additional cost of about $7 billion per year for german car manufacturers to export to the united states。
America's car tariffs will destroy global industrial chains
In addition, industry sources have pointed out that the imposition of tariffs on imported cars in the united states would undermine global industrial supply chains, harm car manufacturers, including united states enterprises, and constrain global innovation in the automobile industry。
According to experts, while trump claims to protect the auto industry in the united states by raising tariffs, the reality is that tariff measures can harm the global layout of the auto industry in the united states and undermine overall employment in the united states。
John bozera, president of the global association of automobile manufacturers of the united states, stated that, to the best of his knowledge, no one required tariff protection and that tariff increases would undermine the competitiveness of the united states automobile industry and provoke retaliation from united states trading partners。
Mr. Samuelson, president and chief executive officer of volvo motors, noted that the south carolina factory in volvo could have created 4,000 jobs, but that the factory would not have been able to achieve the desired employment target if the united states had imposed trade barriers and restrictions。
A recent study published by the united states world trade consulting corporation showed that tariff increases would result in an additional us$ 6,400 being paid by united states consumers for $30,000 worth of imported cars。
Following the imposition of retaliatory customs duties on the united states by the eu 22, the threat by the united states to impose high tariffs on european imported cars and the intensification of trade disputes between the united states and europe have attracted widespread international public opinion。
The trust between the us and europe is gone
The german daily mirror reported that the establishment of a trade relationship required the trust of both parties and that once a retaliatory tariff was imposed by one party, it represented the absence of trust. The eu should stick to its own path of development and demonstrate to the world that economic prosperity can be achieved without the support of the united states market and by relying on the internal markets established by the eu。
The eu insists on negotiating with the united states
German television 2 reports that the united states is an important export market for eu cars and a powerful production base for eu vehicles, and that the eu will be hit hard once the us decides to take action on cars. The threat by the united states to impose high tariffs on imports of eu cars is affecting imf growth expectations in the euro area. The eu has been insisting on negotiations at all levels with the united states, but the results are not clear。
The historic decline of the transatlantic partnership
The u. S. Los angeles times analyses that the eu-issued tax increase lists impose a 25 per cent tariff on products such as united states whiskey, tobacco, harley moto, peanut butter, etc., almost all of which are selected as united states large products. According to the eu, the united states had unilaterally provoked a trade war, leaving the eu with no choice. For the moment, tensions between the united states and its major trading partners have had a huge impact on united states transnational corporations and the business community. The escalating trade disputes between the united states and europe and the escalation of conflicts mark a historic decline in the transatlantic partnership。
