Trump Declares Victory for Farmers in Trade Spat with EU

Trump Declares Victory for Farmers in Trade Spat with EU

Trump Declares Victory for Farmers in Trade Spat with EU

The EU's Juncker said in March, after Trump imposed tariffs on steel and aluminum imports, that "this is basically a stupid process, the fact that we have to do this".

The Trump Administration can do one thing right, and that is stage theater.

"Since the price decline of USA soybeans in June 2018, the European Union is anyway purchasing more soybeans from the United States for economic reasons and there are no European Union import restrictions on US soybeans which can be removed", said Stefan Vogel, head of agricultural commodity markets research at Rabobank, a Dutch bank that specialises in lending to the agriculture sector.

"These possible negotiations will not concern agricultural goods, there may be some reference to soybeans", an European Union official said on condition of anonymity, adding that the increased imports were already reflected on the market.

They also agreed to increase trade in services and agriculture, including greater U.S. soy bean exports to the EU.

Trump and Juncker said talks would seek to "resolve" US tariffs on steel and aluminum and Europe's retaliatory duties, a step back from Trump's import protections for USA metal producers.

"I'm glad. I think it's going to help defuse some of the concern out there, not only in farm country but in our economy generally", Portman said.

Marta Bengoa, professor and head of the economics department at the Colin Powell School at the City College of NY, said the deal was encouraging, but she noted that an accord with Juncker is not the same as accord with the EU's 28 members.

Yet both like to be seen as dealmakers in their different ways and Juncker will relish the praise heaped on him, notably by relieved German exporters, for what his team concede may only be a truce while Trump engages in talks before any action.

In exchange, Trump said he won access for U.S. soybean producers, and for American natural gas.

A joint statement delivered by Trump, with Juncker standing by his side on the White House south lawn, said that the two sides would work towards "zero tariffs, zero non-tariff barriers, and zero subsidies on non-auto industrial goods".

President Trump and European Commission President Juncker held a news conference Wednesday afternoon.

In recent weeks, investors have been focused on the potential impact of US tariffs on Chinese imports, and a lower forecast from General Motors Co. Their tariffs left soybean farmers none too happy with Trump and gave a political boost to vulnerable Senate Democrats in soy-producing farm states such as Heidi Heitkamp, N.D., Joe Donnelly, Ind., and Claire McCaskill, Mo. "And the European Union is going to start, nearly immediately, to buy a lot of soybeans", Mr Trump told reporters after the meeting. That's three-dimensional trade chess.

He tweeted on Tuesday: "Tariffs are the greatest!" That would finally be called Free Market and Fair Trade! "It's as simple as that". "It's a first step".

He said the Trump-Juncker accord was "a good start - it takes away many people's worries that the global economy could suffer serious damage in the coming months from a trade war".

Marc Thiessen is a resident fellow at the American Enterprise Institute (AEI).

Samsung announces video preview of new Galaxy device next week
Trump again calls Russia commotion ‘a big hoax’