Washington: United States President Donald Trump on Sunday threatened to increase the price of automobile export in retaliation of the European Union’s decision to change its trade policies regarding the export of steel and aluminium.
Earlier on Friday, Donald Trump had increased the tariff up to 25 percent on the steel exports which had impacted the trade policies of the European Union and the South Korean manufacturers.
Trump took to his Twitter account to cite a big imbalance between the European Union and USA as the latter has insisted upon imposing taxes on the US goods.
“If the E.U. wants to further increase their already massive tariffs and barriers on U.S. companies doing business there, we will simply apply a tax on their cars which freely pour into the US” he tweeted.
If the E.U. wants to further increase their already massive tariffs and barriers on U.S. companies doing business there, we will simply apply a Tax on their Cars which freely pour into the U.S. They make it impossible for our cars (and more) to sell there. Big trade imbalance!
— Donald J. Trump (@realDonaldTrump) March 3, 2018
This has been done in line with the Trump’s decision to protect the US workers from the upheaval of the global trade.
“The United States has an $800 Billion Dollar Yearly Trade Deficit because of our “very stupid” trade deals and policies, Our jobs and wealth are being given to other countries that have taken advantage of us for years,” he said.
“They laugh at what fools our leaders have been. No more!” Trump further tweeted.
The United States has an $800 Billion Dollar Yearly Trade Deficit because of our “very stupid” trade deals and policies. Our jobs and wealth are being given to other countries that have taken advantage of us for years. They laugh at what fools our leaders have been. No more!
— Donald J. Trump (@realDonaldTrump) March 3, 2018
The move is expected to negatively impact the supply of two European car manufacturers, including Volkswagen and BMW, which are further exported by US raking in millions worldwide.
The world economies have mooted the decision of Trump to impose tariffs on steel imports as ‘hasty’, which could disturb the political establishment and the global economic order.
Further, the increase in taxation of automobiles by the US has prompted certain trade chiefs of the European Union to weigh hitting an array of US imports with a 25 percent tax. (ANI)