YOU’RE PROTECTIONIST TOO! Juncker skewered after EU chief slams Trump on trade tariffs
JEAN-Claude Juncker’s indignant response to US President Donald Trump’s effective trade war declaration conveniently ignores the bloc’s own protectionist instincts, a leading economist has said.
Juncker passed NOTE after Trump enforces trade tariffs on the EU
The EU is quite protectionist itself of course, for example with respect to its car industry
Mr Trump’s confirmation that tough new tariffs would be imposed on imports of steel and aluminium from the EU, as well as Canada and Mexico, prompted Mr Juncker to brand the decision “protectionism, pure and simple”.
But Mr Singham said: “The EU is quite protectionist itself of course, for example with respect to its car industry.”
Mr Singham argues that the EU’s rules and regulations are essentially protectionist in nature.
In the case of agriculture, for example, he argues that this approach has prevented non-EU firms from reaching the EU market, including the UK.
He added: “Ultimately, this is not a trade war between the US and the EU – this is really about China.
“There are a lot of factories in China which everyone complains about.
“What the US has done has targeted lots of different places – but it should be pointed out that this is not exactly new.
“Previous US administrations have imposed tariffs on imports."
As for Mr Juncker’s motives in threatening to hit the US back in the anticipated trade war, Mr Singham said: “I think what Juncker is trying to do is preserve European cohesion.”
He pointed out that marked differences were evident in the attitudes of France and Germany, with the former keen for a more belligerent response and the latter more willing to compromise.
He also predicted that Brexit would leave Britain in a good position to capitalise in the coming months, with Mr Trump more likely to favour exemptions for British exports to the US than he was EU ones.
In a speech to the European Parliament today, Mr Juncker said: “This is a bad day for world trade.
“What they can do, we’re able to do exactly the same.”
In a separate statement issued later, he added: “I am concerned by this decision.
“The EU believes these unilateral US tariffs are unjustified and at odds with World Trade Organisation rules.”