European Union imposes tariffs on United States peanuts, motorcycles and whiskey

Industrial Views Across The Dee Valley

US President Donald Trump has threatened to impose a 20% tariff on all EU-assembled cars coming into the US, a month after the administration launched an investigation into whether automotive imports pose a national security threat.

In response to Mr Trump's tariffs on European steel and aluminium, the EU has imposed tariffs on imports of USA cranberries, orange juice, sweetcorn, peanut butter, bourbon whiskey, cigarettes, cigars, cheroots (a type of thin cigar), cosmetics, motorbikes, boats, jeans, leather footwear, swimwear, underwear and steel products.

President Trump said the measures against the EU are meant to protect US national security interests, but the Europeans claim it can not be that close allies, many of them North Atlantic Treaty Organisation partners, would endanger USA security. "And then, the European Union will hopefully act as united again as it has done now". "We don't want to do anything that would harm consumers". In 2017, 17.2m vehicles were sold in the USA, compared with 15.6m in the EU and European Free Trade Association countries.

"If we chose products like Harley-Davidson, peanut butter and bourbon, it's because there are alternatives on the market". Industry data shows that German automakers build more vehicles in southern USA states that voted for Trump in the 2016 presidential election than they ship to the United States from Germany.

"We are left with no other choice", Malmstrom said in a statement. "They do have, though, very strong Immigration Laws", Trump posted on Twitter, a day after a vote on a compromise immigration measure was postponed in the House.

Merkel also cited to the EU's retaliatory tariffs on Bourbon and Harley Davidsons and said: "We don't let ourselves be taken advantage of again and again".

Sen. Orrin Hatch, who opposes the vehicle tariffs, did the math for Commerce Secretary Wilbur Ross at a hearing this month.

The E.U.'s retaliation is relatively modest - Trump's tariffs had hit roughly $7.5 billion of European products.

There could be yet another round of US tariffs.

Trump also previously revealed to French President Emmanuel Macron that he wishes to raise levies on imported cars to 25% and obliterate European luxury auto sales in the US. In fact, the president responded to the E.U.'s duties Friday morning by threatening to impose a 20 percent tariff on all foreign-made cars.

The tariffs come weeks after the Trump administration implemented a 25 per cent tariff on steel and 10 per cent tariff on aluminium imports in March.

The biggest exporters of cars to the US are Canada and Mexico, followed by Japan and Germany.

Canada and Mexico have also announced their own similar countermeasures just as an even greater trade skirmish pitting the USA against China deepens.

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