After a long spat of trade war since months, Donald Trump met with European Commission Jean-Claude Juncker announced that they have made an agreement with the European Union to end the trade war and move forward together toward a “zero tariff” situation for better economic relations.
Juncker has emerged out as a saviour amid the ferocious economic war between the United States and the European Union. On Wednesday, US President Donald Trump held a meeting with the European Commission Jean-Claude Juncker and announced that they had reached an agreement with the EU to work together toward a policy of “zero tariffs” and resolve all trade barriers. He further added that “we are starting the negotiation right now, but we know where it is going” and that they want to start “a new phase” in US-EU trade relations and end the cold trade war.
Trump also claims that the European Union has agreed to buy a “lot of soybeans” as well as increase the amount of import of liquefied natural gas from the US. Furthermore, EU’s concerns over the export tariffs on aluminium and steel will also be taken care of. They say that the tone of the entire Trump-Juncker meeting was friendlier than it has ever been, and that Juncker may have succeeded to junk away the US-EU trade war. But, reaching a detailed trade agreement with the EU would likely prove difficult for the States.
Also, these agreements and MoUs are formalities of vagueness, especially with the stern European trade rules on one hand, and the United States’ approach of remaining embroiled in major trade issues with countries like China and now the EU nations too. Even Trump admits how this is “very big day for free and fair trade” and it was a “breakthrough that has been quickly made that nobody thought was possible”. Perhaps, something so big is seen to be vaguely unlikely to happen; unless it’s a miracle of its own kind.