Trump: We will impose customs duties on Europe Economy news

US President Donald Trump announced that his country will impose customs duties on the European Union, noting that Brussels is badly dealt with the United States.

This came in a press conference on Friday evening, in which he said that “some countries deal with his country badly in commercial relations, which makes them lose money.” “I will definitely impose fees on the European Union. Europe has dealt with us badly,” he said.

He continued, “They do not take our cars and do not take our agricultural products mainly, they are almost nothing.”

Trump pointed to the large trade deficit between the United States and the European Union, and pledged to do a “strong” work against the bloc, but he did not provide further details.

During his campaign, Trump mentioned plans to impose new fees ranging from 10% and 20% on imports from the European Union, saying that it will enhance local industries and address the trade deficit.

He added that Washington will impose new customs duties on many countries, led by Canada, Mexico and China.

He explained that the United States has become rich throughout history through customs taxes, stressing that it will return to this method.

He pointed out that it may impose customs duties on electronic chips, oil, natural gas, steel, aluminum and copper.

Canada, Mexico and China

Sources at the White House confirmed that the presidential decision includes imposing 25% fees on imports from Canada and Mexico, and 10% on imports from China, and that the fees will enter into force from today, Saturday.

Among the sources, White House spokeswoman Caroline Levit, who said yesterday evening, was that the United States will impose customs duties of 25% on Canada, Mexico and 10% graphics on China, but it refrained from commenting on what There were exemptions included in the decision.

These decisions did not pass without a response, as the Canadian and Mexican governments announced that they would take anti -American fees, while they tried to reassure Washington that they were working to address American concerns about borders and trade.

Canada has offered alternative solutions to avoid entering into a comprehensive trade war, but it seems that the US administration is proceeding with the implementation of its decision without any decline.

These steps may, according to many analysts and followers, escalate trade tensions between the United States and its main partners, with the possibility of retaliatory measures by the targeted countries.

Trump has repeatedly threatened to impose customs duties on European Union countries after announcing his victory in the US presidential elections, and he was justifying this by the trade imbalance between the United States and Europe. The threats were especially targeting the German and French auto sector, in addition to agricultural industries.

Economic repercussions

Imposing new American customs duties on the European Union will lead to great economic and commercial repercussions, including:

• The escalation of the trade war, as Europe and the targeted countries are expected to respond to the imposition of retaliatory fees on American products, as they had previously done in commercial conflicts with Washington, the European response may include imposing taxes on American goods such as cars and agricultural products, which will affect the exported American companies.
• The slowdown in economic growth, as the increase in customs duties means high import costs, which may lead to high prices in the American and European markets, and therefore companies that depend on via Atlantic trade will be affected, and they may have to reduce production or workers’ layoffs due to high costs. Investors will also be anxious, which may lead to disturbances in the financial markets.
• American procedures and reactions will negatively affect the automotive and technology sector, as the German and French auto industry is expected to be the most affected, as the United States is a major market for it. American technology companies such as Apple and Microsoft, which depend on European components, may face challenges in supply chains.
• The weakness of the US -European coalition, relations between America and European countries may be tense, especially if the European Union considers the fees not justified. This may affect cooperation in issues such as foreign policy, security, and NATO (NATO).
• With the escalation of tension between America and Europe, European companies may resort to strengthening their relations with China and other countries, which may reduce American influence in global trade.
• In general, these measures may lead to global economic turmoil, and may enter the global economy in a stage of slowdown if the trade war escalates.