President Donald Trump further escalated his trade war rhetoric on Saturday by threatening to put a tax on cars manufactured in European Union countries.
“If the E.U. wants to further increase their already massive tariffs and barriers on U.S. companies doing business there, we will simply apply a Tax on their Cars which freely pour into the U.S,” Trump tweeted. “They make it impossible for our cars (and more) to sell there. Big trade imbalance!”
If the E.U. wants to further increase their already massive tariffs and barriers on U.S. companies doing business there, we will simply apply a Tax on their Cars which freely pour into the U.S. They make it impossible for our cars (and more) to sell there. Big trade imbalance!
— Donald J. Trump (@realDonaldTrump) March 3, 2018
The declaration was likely in response to reports that E.U leaders are considering slapping duties on about $3.5 billion worth of American imports in retaliation to Trump’s proposed tariffs on steel and aluminum.
European Commission President Jean-Claude Juncker said the E.U will put tariffs on “Harley-Davidson, on bourbon and on blue jeans – Levis,” according to Reuters.
“We would like a reasonable relationship to the United States, but we cannot simply put our head in the sand,” said Juncker.
Trump’s announcement on Thursday caused financial markets to plummet while prompting significant pushback from global allies and even fellow Republicans.
“The president is proposing a massive tax increase on American families. Protectionism is weak, not strong,” said Sen. Ben Sasse (R-NE).
While defending the tariffs, POTUS claimed on Friday that “trade wars are good, and easy to win.”
When a country (USA) is losing many billions of dollars on trade with virtually every country it does business with, trade wars are good, and easy to win. Example, when we are down $100 billion with a certain country and they get cute, don’t trade anymore-we win big. It’s easy!
— Donald J. Trump (@realDonaldTrump) March 2, 2018
