The US President has announced commercial retaliation to the EU for the VAT that applies to all products. Trump has accused the EU of being ‘absolutely brutal in trade’. The new rates will not take effect immediately, but within a period of “weeks” or “months”.
The President of the United States, Donald Trump, announced the imposition of “Mutual rates” To the countries that tax American products, with the aim of equalizing the rates that these countries apply to American exports and with the European Union (EU) among the most important victims.
“I have decided that, for righteousness, I will impose the mutual rate, the Oval Office, where he is progressing that he is planning to sign a memorandum with that order.
The new rates will not take effect immediately, but within a period of “weeks” or “months”And the first to be punished are those with a higher commercial shortage with the United States, as explained by a senior official before signing the memorandum.
“Everyone used the US. And we have paid a high price for it. Over the years, the United States have helped many countries with major financial costs. This is the time that those countries remember what we did for them and treat us honestly, “said Trump.
The document signed by Trump focuses on two aspects that he thought have generated An “unfair” treatment for the US. In international trade: rates imposed by other states on American exports and the so -called “not -Tariff -barriers”, ranging from regulations to rates for currency change.
Each state will be confronted with adapted rates, according to the aforementioned officer. A uniform rate of 10 % or 25 % will not be applied, but the administration will set specific rates based on rates and commercial “barriers that each imposes on the US.
Hard criticism of the EU
The president has been particularly critical of the European Union, which he has accused of being “absolutely brutal in trade” and to impose what he has described as “an undercover rate” by VAT (tax on added value), those between 17 % varies in Luxembourg and 27 % in Hungary.
“There is a reason why Germany sells more cars than we sell, and it is not because of the quality of production or the American design. It is simply for unfair commercial practices, and that is deadly. It is a hidden rate,” ” Trump said.
As explained to EFE a senior official before signing the Trump memorandum, the European automotive He could make a significant increase in his rates. Washington currently applies a rate of 2.5 % to imported vehicles, but this figure can go to the 27 %.
The EU currently imposes a rate of 10 % on imported cars, in addition to the VAT of the community, which is at least 17 %. That is why the US would apply an equivalent rate with the new policy, with a rate of 10 % and the corresponding percentage of VAT, which could increase the total rate to 27 %.
Source: EITB
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
