EU's Sefcovic on trade talks: It takes two hands to clap ...Middle East

EU's trade chief Sefcovic on the trade talks with the US does not sound all that optimistic saying:

It takes two hands to clap.

The strategy appears to be one of maintaining tariffs at relatively high levels—perhaps slightly below the “Liberation Day” rates, but still close enough to exert leverage. This leaves room for countries to negotiate lower rates, yet the underlying message remains that there will always be some cost for access to the U.S. market. In Trump's view, trade has been imbalanced for decades, and the new tariff regime is a way of evening the scales.

By the way, he is done with defense for free to defend democracy. Having countries support NATO, he will be happy to defend democracy by selling defense to NATO.

This article was written by Greg Michalowski at www.forexlive.com.

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