Top US business group assails Trump's handling of trade dispute

Top US business group assails Trump's handling of trade dispute

Top US business group assails Trump's handling of trade dispute

Warner's comments come after the USA president threatened to impose auto tariffs in an interview with Fox News Sunday, noting cars are "the big one".

Trump, however, has repeatedly defended his position, criticizing the European Union, Canada, and China on trade both during the Fox interview and at a recent rally in SC, where Trump went as far as to declare the United States the "piggybank" other nations like to take from.

At Trump's insistence, Canada, Mexico and the USA are renegotiating the North American Free Trade Agreement (NAFTA).

According to a report in the Financial Times, a letter sent by the European Commission to the US Department of Commerce says the EU could hit $300 billion - the equivalent of well over R4 trillion - of US goods with tariffs, if Trump follows through on his threats to place big taxes on European vehicles being imported in the US.

Although Trump has previously been persuaded to back off trade threats based on the fact that they would hurt states that supported him in the 2016 presidential election, he has taken a more aggressive tack in recent months.

"The president is committed to making sure we have good deals", she said.

"We did retaliate against the American steel and aluminum tariffs - and we did so outside the framework of the [World Trade Organization], at least initially".

The report also said Trump's tarriffs threaten $46 million in exports to China, and $30 million to Mexico.

A report by New York-based Rhodium Group, a research consultancy, in April showed that Chinese restrictions on foreign investment are higher in every single sector save real estate, compared to the European Union, while numerous big Chinese takeovers in the bloc would not have been possible for EU companies in China.

Shanghai's bear market lurch continued overnight, with losses of up to 3 percent as firms await US tariffs on $34 billion worth of Chinese goods this week, and new business surveys showed some worrying signs of deterioration.

Several targets of Mr. Trump's tariffs on steel and aluminum have already imposed countermeasures, including Canada and the European Union. It said that auto imports from Europe to the U.S. had grown at the same pace as demand from the U.S. market, showing that they were filling a gap that domestic output could not, rather than eating into domestic sales as Trump has suggested.

Many are targeted specifically at states that have been supportive of Trump. Their shipments will now be subject to a 25 percent tariff, which will instantly make their crops far costlier in China.

The Chamber opposes the Trump administration's tariff policy, estimating the impact of the tariffs on each state with an interactive map on TheWrongApproach.com.

"I will tell you, China wants to make a deal and so do I, but it's got to be a fair deal for this country", he said. The idea was that China's additional purchases would shrink its trade surplus with the United States.

President Donald Trump cited national security concerns for the previous tariffs.

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