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The discovered tensions between the United States and its main partners are emerged and revived by the spectrum of the new economic war. Washington announced an increase in the overall obligations focused on Canada, Mexico and China. This decision means the return of protectionism that Donald Trump dear. The price offensive immediately triggered a reaction to four corners of the world, especially in Europe, where the European Commission carefully monitors the situation. If the European Union is not yet directly influenced, Brussels is worried about the expansion of US measures and warns that it will not remain passive. The Commission has already expressed the disagreement of the company with this policy and claims that it is ready to take retaliation to protect the economic interests of the continent. In the face of this new commercial offensive of the United States, the risk of climbing between the two blocks cannot be ruled out.
Washington starts a trade war: Europe in alert
The US administration decided to increase the overall obligations for several products imported from Canada, Mexico and China, and thus reaffirms the protectionist policy prevented by Donald Trump. This decision is part of a strategy aimed at strengthening the competitiveness of American societies in the face of what Washington considers to be an unfair competition.
Although the European Union has not yet been directly affected, Brussels remains on standby and closely monitors the development of the situation. With the fear of expanding European export restrictions, the committee immediately responded and condemned these new commercial barriers. She stated in her statement: “She regrets these new commercial restrictions and retaliation with fortress has been prepared if European interests have been targeted”.
This position contrasts with the usual EU caution in its trade relations with Washington. From now on, Brussels has no longer excluded targeted retaliations to protect companies on the continent. If the United States decided to extend its customs duties to Europe, it would be inevitable escalation of the trade tension between the two powers.
Towards the new economic confrontation between Washington and Brussels?
Meanwhile, the European Union is cautious, amplifying its consultations to anticipate the possible harm of trade in the United States. In Brussels, the European Commission is already examining several RIPOSTE scenarios to protect the economic interests of the continent. Among the estimated possibilities is to increase customs duties for some US products at the top of the list. The first sectors and agriculture could be the first targeted sector, including US exports of produced and agricultural products, of which Europe still partially depends.
In this context, European companies remain on standby. The escalation of trade tensions would not be limited to political decisions. Its effects would be felt in strategic sectors such as the automotive industry, food and high -technological. Kalking US measures in response to possible European sanctions would further weaken a transatlantic trade with direct consequences on supplier chains and consumer prices.
Some economists are worried about the domino effect, where every retaliation would lead to escalation, which would emphasize economic uncertainty. If the EU decided to intervene some sensitive industry for Washington, the White House could replicate with new restrictions, which would extend the instability of commercial relations. In the context when the global economy is trying to regain balance, the tariff war between the two blocks would be a negative signal for investors and financial markets. It remains to be determined whether the diplomatic dialogue avoids new clearing or whether Brussels and Washington are heading for extended commercial repression.
The global economic climate remains a fragile and trade war between the European Union and the United States would further emphasize the uncertainties in the markets. Voltage escalation would affect growth on both sides of the Atlantic with direct consequences on trade and investment. The result of this crisis now depends on the choice of Washington. Will the White House try to include Europe in its protectionist policy, or would it prefer to prefer a diplomatic path to avoid new economic clearing? The current negotiations will be decisive for the future of transatlantic relations.
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Graduate of Science after Toulouse and holder of Blockchain Consultant Certification, published by Alyrou, joined the adventure of Cointtribuni. The general public about this constantly evolving ecosystem. My goal is to allow everyone to better understand blockchain and take the opportunity they offer. I try to provide an objective analysis of messages every day, decrypt trends on the market, hand over the latest technological innovations and introduce the economic and social issues of this revolution.
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