China and the EU size each other up as Trump plays hardball with tariffs

President Donald Trump said this week that a commercial agreement with the European Union “would occur 100%” while the continent seeks to avoid the 20% prices which should be promulgated in July.

But while China seeks to sail in a world in which it operates less than 145%, it probably seeks to extend its business links with the EU and could seek to intervene in Trump’s plans for an EU agreement.

The radical prices promulgated by Trump this year on essentially all American trade partners, as well as general prices on imports such as steel, aluminum and cars, have changed the way in which traditional allies see Washington – some in Europe questioning the reliability of the long -standing ally.

Trump suggests that the end of the price with China can be in sight, says Tiktok Deal must wait

China could try to use any potential Changes in geopolitical allegiances When it comes to getting around the tariff war between the two largest economies in the world.

“Given the electoral policy in Europe, it can be difficult for some European leaders to appear weak with Trump. Putting a pivot for China – as risky – could be tempting,” said Elaine Dezenski, principal director and head of the economic and financial center at the Defense of Defense of Democracies, told Fox News Digital.

“Trump’s aggressive world prices have made traditional allies angry and the reconstruction of this confidence can be difficult, even if many in Europe are clear about the risks of Chinese economic engagement,” she added. “However, given the economic pressures of China, it can be willing to offer an agreement that Europe finds too difficult to refuse.”

Dezenski explained that if China was willing to conclude an agreement with the EU, such as agreeing to increase imports from the EU, continent leaders can find 1.4 billion consumers from China a market more intriguing than “richer but smaller consumption bases”.

But there is a distinct element that the EU will seek to counter with regard to the American -Chinese Tariff War – Beijing Dumping on the European market.

Trump says that Chinese President Xi Jinping knows where he is regarding the prices. (Ton Molina / Bloomberg via Getty Images / Getty Images)

American allies align themselves for commercial transactions during the 90 -day price break

Dumping refers to the practice of selling goods in another country at a price lower than domestic production allows – a strategy that the EU has long sought to prevent China from using with regard to items such as solar panels, electric vehicles and consumer electronics.

The president of the EU of the European Commission, Ursula von der Leyen, expressed a similar concern during a telephone call with Chinese Prime Minister Li Qiang last week, in which she “emphasized the critical role of China in the fight against the embezzlement of possible trade caused by prices, in particular in the sectors already affected by global overcapacity”.

“It also recalled the urgency of structural solutions to rebalance the bilateral commercial relationship and ensure better access to European companies, products and services to the Chinese market,” read the call published by the EU.

Although Chinese exports to the United States have jumped in March by more than 12% compared to the same era last year, this should reduce considerably because US consumers could soon see increasing price labels, because the effects of trade war should degenerate.

A decrease in Chinese exports to the United States could mean that Beijing could seek to considerably divert these products to the European market.

Although the issue of EU’s EU prices does not seem to have been on Von Der Leyen’s discussion with Li, some reports have suggested that the block could also consider applying prices on Beijing if it begins to pour products through the EU as export to the United States.

The president of the European Commission Ursula von der Leyen examines during a press conference on the day of a European Union summit in Brussels on March 20. (Reuters / Reuters)

Trump says the EU and the United States will have a very few problems ” reaching the commercial transaction agreement

“The European resistance to Chinese spill makes it a prudent continent,” confirmed Dezenski. “China will have to offer something better in exchange, and this could well be a desire to increase its imports from Europe.”

“China has resisted the opening of its markets, promoting national producers, but they will face increasing pressure to treat massive commercial imbalances,” she added.

The EU’s trade deficit with China in 2024 has equipped some $ 345 billion, which means that Europeans imported much more from Beijing than China imported from the continent.

But even if China is trying to improve trade relations with the EU, Europeans have become more and more frustrated by Chinese spills in recent decades, which, according to Steve Yates, principal researcher for China and national security policy at the Heritage Foundation, it is unlikely that the EU and China have a lot of room to develop, regardless of American pressure. “”

President Donald Trump announced that he would impose a 25% rate on all foreign steel and aluminum imports in the United States since the recovery of the White House, Trump has made various commercial threats against countries, including Taiwan, Canada, Mexi (Photo by Brandon Bell / Getty Images / Getty Images)

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But more significantly, Yates argued that “the EU and China cannot compensate for the American market by widening the exchange between them. Not in the long term ”.

“With the EU and China, it is the huge draw of the American consumer market that provides growth fuel. None of them can prosper, or possibly survive, without reliable and relatively unhindered access to American consumers,” he said. “This is the powerful lever effect that President Trump has in these negotiations.”