Trump will diminish international markets with a new phase of trade war
Dollar and US companies are all over the world with the return of Donald Trump’s trade war. The President of the United States has threatened friends and organizations against products that are not manufactured in the country.
Trump announces 50% rates for goods from European Union From June 1. This is the largest commercial partner of black Americans, nearly $ 1 trillion in business transactions.
Republican speech was repeated Europeans imposed commercial obstacles on the United States And he pointed out that the negotiations with the block were not going to “somewhere”.
“I am looking for a deal. We have already defined this deal – it’s 50%. But again, if they build factories here you will not have charges.”
Treasury Secretary Scott Besant has admitted that the presidential attitude has a negative impact on commercial affairs. However, it stated Proposals from the European Block submitted so far are not positive And the decision of Trump hopes to move forward in the Europeans.
On the other hand of Atlantic, the reactions of the leaders of the European Union member states are careful.
European Chief of Commerce, Maroš šefčovič, said the Black is ready to defend their own interests And the negotiations should be based on “mutual respect.”
Spoke w @Jamiesongrate & Owhowardlutnick. The EU is completely engaged, and is committed to obtaining a contract for both. @Eu_COMMISSION Ready to work with good faith. The EU-us trade does not match and guide by mutual respect, not threats. We are ready to protect our interests. pic.twitter.com/rfio5k4AUS
Trump also threatened along with the European Union Imposes a 25% rate on companies like Apple, Samsung and other smartphone manufacturersIf its products are not made in the US.
Trump stressed that companies are trying to bring their factories to the US. But moving product routes to US territory increases the cost of production to home users.
Markets have reacted poorly to return the trade war.
The main three New York indicators have fallen back, especially Nasdaq – Technology market, which has been dragged by 3% of Apple shares. Nasdaq and Dow Jones are in their worst week in five weeks.
In Europe, the result is also bad United Kingdom (FTSE 100) Scholarships from Germany (DAX) and Pan-European Stoxx 600 Shut down this Friday (23) in red.
The US dollar index fell 0.8%to measure US currency strength compared to six major foreign currency. The dollar index recorded the highest decrease in a single day in a month and its worst week in six weeks. During gold and uncertainty, safe heavenly increased by 2%.
* With information from CNN International
