France is leading a European campaign to activate the sanctions tool against America .. Was the confrontation approaching? | economy

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Bloomberg has revealed that an increasing number of European Union countries support the activation of what is known as the “ACI” tool (ACI) against the United States in the event that a satisfactory agreement is not reached by the first of August, and the implementation of the US President. Donald Trump His threat to impose Customs 30% on exports European UnionIn a step that expresses the escalation of commercial tension in Atlantic.

According to informed sources, they spoke to “Bloomberg”, this tool gives the European Union broad powers to respond:

  • Imposing new taxes on American technology giants.
  • Selective restrictions on American investments in Europe.
  • Reducing the arrival of American companies to the European standard market or excluding them from public tenders.

“We are not there yet.” But France is pushing strongly

“Bloomberg” highlighted the statements of the French Minister of Affairs in the French government, Benjamin Haddad, who said that the response of Brussels “should include the option to use this tool,” noting that showing strength and unity is the only way to protect European interests.

Flags of The Group of Seven (G7) is an intergovernmental political forum consisting of Canada, France, Germany, Italy, Japan, the United Kingdom and the United States; additionally, the European Union; Shutterstock ID 2367924817; purchase_order: aj; job: ; client: ; other:
Support more than half of the European Union countries, France’s proposal reflects the escalation of anxiety from Trump’s policies (Stradstock)

Speaking to Bloomberg TV, Haddad added, “We can go beyond the counter -measures announced by the European Commission,” referring to a package of measures targeting American imports of approximately 100 billion euros ($ 116 billion).

Although the President of the European Commission, Ursula von der Line, tried to calm the atmosphere by saying, “The tool was found for exceptional cases, and we are not there yet” the French pressure has become concrete and finds support from more than half of the European capitals, according to Bloomberg.

Trump’s threats drive Europe to the edge

“Bloomberg” said that European commercial commissioner Marush Shevchaovic will go to Washington this week to continue the talks, amid assurance from UNHCR spokesman Olov Gail that the goal remains a negotiating solution.

Despite the continued negotiation, Trump sent, at the weekend, an official message threatening to impose 30% fees on most of the Federation’s exports, as well as 25% existing fees on cars and 50% on steel and aluminum.

For his part, European Commissioner Michael McGrath told Salbberg Radio that Brussels “was surprised and disappointed” from Trump’s message, but he expressed his hope to reach an agreement before the first of August next, stressing that “negotiations are complicated and pose a challenge.”

Mutual sanctions threaten a comprehensive commercial war

According to “Bloomberg”, the use of the tool for the first time will constitute a significant escalation in the trade conflict, and may push the Trump administration to more strict responses.

It is noteworthy that this tool was among the reforms of European commercial policy after the United States imposed fees on the union’s exports in Trump’s first state, in addition to Europe’s response to China’s pressure on Lithuania after the opening of a representative office for Taiwan in Vilnius.

The new American fees may affect European exports estimated at $ 116 billion (Reuters)

If the tool is activated, member states will be available to evaluate whether there is an actual “coercion” act, provided that the consultations take place with the target party during the process, and the union may cooperate with other partners who face similar pressure.

“Bloomberg” indicated that Trump Sagaba Sagabe on Tuesday by announcing the possibility of imposing new fees on some imported drugs, which could strike a severe blow to the European pharmaceutical industry, especially in light of the connection of many European pharmaceutical companies to the United States market.

An agreement on the horizon … on harsh conditions

“Bloomberg” added that the European Union was hoping to reach the initial framework of the agreement that allowed the extension of negotiation until next August.

According to its sources, the proposed proposal included imposing a 10% fee on most of the union’s exports, with limited exemptions for some sectors, such as aviation and medical equipment.

However, with the escalation of the statements from Washington and Paris and the continued division between European capitals, it seems that Europe is approaching a crossroads, either undergoing American pressure or responding to its harsh commercial tools, with the dangers that this carries to a widespread economic war.

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