The trade conflict between the United States and the EU goes to the next round: the European Commission is working on special rates for US exports with a value of a maximum of 95 billion euros. Whiskey, cars or sweet potatoes can be influenced by the loads.
The extra rates can be collected if the EU negotiations with Washington do not lead to a solution, as a Brussels authority has announced. The month of July is currently the period for this. There is a period of 90 days that US President Donald Trump has set for EU offers.
If this is not enough for him, he wants to enforce extensive new special rates for the EU input. They would be added to the special rates that already apply.
EU is preparing for all scenarios
“The EU is still determined to come up with the US. At the same time you prepare for all possibilities.
Taxes on machines, chemicals and rum
These extra taxes can be increased on industrial and agricultural products. Machines, car and aircraft parts, chemicals, sweet potatoes and whiskey, rum and wine from the US can be influenced, for example. The more than 200 pages long list of products that can be documented with rates from the Perspective of the EU committee must now be publicly and discussed by the economy.
EU wants to sue the US
At the same time, the hope that the list will also be analyzed in the US and that export -oriented companies encourage the Government in Washington to reach an agreement with the EU. Parallel to the preparation of new possible counter ariffs, the EU committee wants to sue the United States because of the rates at WTO, as the authority continued to say.
Export restrictions in conversation
In addition to the extra taxes, the Commission also considers EU export restrictions for certain products worth 4.4 billion euros in this case. This includes steel scrap and chemical products that American companies have liked to import so far.
In the case of a failure of negotiations, the reintroduction of special EU special rates such as jeans, bourbon whiskey, motorcycles and peanut butter in the case of negotiations.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
