Thursday, July 26, 2018

Trump Backs Off On EU Tariff Threats (UPDATED)



After yesterday's meeting on tariffs between the U.S. and the European Union, widespread praise is being given to European Commission President Jean-Claude Juncker for getting Very Stable Genius Donald "Rump" Trump to back off of his threats to impose sanctions on the EU. Just last month, Rump was talking tough about hitting the EU with tariffs on a range of goods, especially autos and auto parts. His stump speeches to his rabid base constantly include shots at the EU for "ripping off" the U.S. and creating a trade deficit. Juncker used his considerable Old World charm -- including some smooching -- in getting the volatile and reckless Rump to go along with the EU on very limited actions involving increased imports of U.S. liquified natural gas and soybeans:
"The former Luxembourg premier  [Juncker] and 30-year veteran of EU backroom haggling and his aides stressed the limits to what was achieved — well aware of Trump’s ability to change tack. And though Germany cheered that Juncker had bought their car makers time while talks are launched on freeing up trade, France sounded more cautious on possible new U.S. farm imports.
Yet there was widespread praise among European governments and business for the Commission’s strategy, in renewing offers that Trump had dismissed in the past for more free trade talks and sticking to its own threat of retaliation against U.S. products by the world’s biggest economic bloc." (our emphasis)
The EU, with 28 member nations, has considerable bargaining power, with Germany as the greatest economic powerhouse and Rump's consistent nemesis over economic and NATO issues. Yesterday was a win for the EU overall -- and Germany in particular -- and yet another walk back for Rump.

UPDATE:  Maybe it wasn't all charm;  maybe they used "simple", colorful cue cards to 'splain things to the Very Stable Genius.

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