United States trade deal was on brink of collapse, Juncker says

Fredrick Soto
July 30, 2018

Mr Juncker said he had an "intention to make a deal today and we made a deal today".

"This is why we agreed today, first of all, to work together toward zero tariffs, zero non-tariff barriers, and zero subsidies on non-auto industrial goods", it stated.

Juncker will not arrive in Washington with a specific trade offer, the commission said on Monday. But others were wary, wondering whether it's realistic to expect Europe to buy more soybeans from the United States, as Juncker signaled, or to become "a massive buyer" of liquefied natural gas from the USA, as Trump declared.

He says past leaders allowed the USA trade deficit to balloon and complains: "They surrendered".

Mr. Trump also won a commitment to work together to reform the World Trade Organization to address some of his complaints about China on theft of US technology, the behavior of state-owned enterprises, and overcapacity in steel.

Even if Trump is the skilled negotiator he claims to be, offering aid to those affected and making deals one by one to roll back the damage done by his own tariffs might be a task too large even for the author of "The Art of the Deal".

But he said reaching a detailed trade agreement with the European Union would probably prove hard.

The upcoming negotiations between the USA and Europe are not guaranteed to produce an agreement that significantly reduces trade barriers.

The U.S. administration got more out of a trade deal with the European Union than it had expected and the two will work together to deal with China's market abuses, a top White House official told Reuters on Thursday. He repeatedly threatened to levy new tariffs on European autos, and his administration in May slapped import duties on steel and aluminum coming from Europe.

Whatever progress was achieved Wednesday could provide some relief for USA automakers. General Motors slashed its outlook, and shares of Ford Motor Co. and auto parts companies have fallen.

"This is a real vindication that the president's trade policy is starting to work", Ross said.

"But one thing is sure: if the United States imposes tariffs on Chinese imports following an order of $60 billion, $200 billion, or even $500 billion, many Chinese companies will go bankrupt". We paid $1.5 billion in duties on Chinese footwear a year ago alone.

"If you go and strike a deal with Mr. Trump, you have to think how that fits into the strategy", she said.

The Journal's report says Juncker "flipped through" more than a dozen cards, which had minimal information on them, and all focused on a single issue.

Following that decision, Trump had troubled meeting with European Union leaders during the G7 summit and during his visit to Europe two weeks ago, where he attended a North Atlantic Treaty Organisation summit.

But in capitals across Europe, a number of national officials echoed that sentiment, heralding the meeting as having prevented a trade war.

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