EU weighs international talks on cutting car tariffs - FT
The Financial Times quoted three European Union (EU) diplomats briefed on the initiative, as saying that the EU is considering talks on a tariff-cutting deal between the world’s big car exporters to prevent an all-out trade war with the US.
Key Points:
Three diplomats said the European Commission is studying whether it would be feasible to negotiate a deal with other big car exporters such as the US, South Korea and Japan.
Such a move could address Mr. Trump’s complaint that the US sector is unfairly treated while reducing export costs for other participating countries’ auto sectors.
Under such a deal, participants would reduce tariffs to agreed levels for a specified set of products — a concept in the international trade known as a “plurilateral agreement” that lets countries strike deals on tariffs without including the entire membership of the WTO.
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
