Negotiations in Paris to avoid a transatlantic trade war showed no signs of a breakthrough less than 48 hours before the deadline set by Trump to impose import tariffs.
According to Reuters, during the negotiations, the United States and Europe had opposing views on the world economic order.
Trump introduced tariffs on imports of aluminum and steel, which were directed mainly against China, but granted the European Union and some other partners a temporary tariff exemption that expires on June 1.
French and German finance ministers and the EU trade commissioner held a series of meetings with US Secretary of Commerce Wilbur Ross.
French Finance Minister Bruno Le Mer and his German counterpart Peter Altmaier told reporters that the European response to US tariffs will be unified and solid.
“We are ready to respond in a unified and clear way, regardless of the decision of the president (Trump),” Altmayer said.
US trade deficit weakens slightly in April
An early look at US trading patterns in April showed a slight decrease in the country’s trade deficit, which may be another sign that the economy will accelerate growth in the second quarter.
EPA-EFE / WU HONG
The trade deficit in goods, excluding services, decreased by 0.6% to $ 68.2 billion from $ 68.6 billion earlier. Economists surveyed by MarketWatch forecast a deficit of $ 71 billion.
Next week, the US government will publish general trade figures, but the deficit is due to changes in exports and imports of goods. At the same time, services do not change much with each passing month.
At the same time, an advanced view of wholesale inventories did not indicate an increase; an early look at retail inventories indicated an increase of 0.6%.
In April, exports and imports of goods to the United States decreased slightly. For example, the United States exported fewer cars, but imported less consumer goods such as electronics. The growth of retail stocks was made possible by car dealers.
The United States has experienced a large trade deficit for decades, and this will not change in the near future, despite the intensive efforts of the Trump administration to reduce its size.
The US economy, for its part, is doing fine, despite a large trade deficit.