Donald Trump’s economic approach to international relations increasingly assumes the outlines of the blocked commercial war with the European Union. Between Threats, extensions and behindthere is someone who has calculated exactly how many billions of dollars would cost all this.
Not only duties and products, also at risk exchanges and investments
According to theAmerican Chamber of Commerce to the European Unionthe war of Euro American duties puts a commercial balance of the value of 9,500 billion dollars in exchanges and investments bilateral a year. To report the calculations of the committee of American companies operating on European land is the Wall Street Journal. According to the association, the risks related to duties go beyond the goods that are directly taxed. The transatlantic investments are also in the sights, which even apply to triple compared to the products only.
In 2024 the bilateral trade in goods between the United States and European countries, including the United Kingdomhas reached the record level of about 1.3 trillion dollarswhile the total exchange of services between the two economies was estimated in over 750 billion dollars. But the sales of European companies that have invested overseas have been much higher, we still read in the amcham EU report. Last year the Sales of EU affiliates in the United States they were probably higher than 3.5 trillion dollars and the Sales of US affiliates in Europe They were higher than 4 trillion.
What can happen in commercial relations between the USA and the EU
“The damage to the commercial flows of goods is already quite serious,” he said Malte LohanCEO of Amcham Ee. “The real risk is that you also start contaminating the other exchanges of exchange”. Second Dan Hamiltonresearcher at Johns Hopkins University and co-author of the Amcham Eu relationship, the EU could react to Trump’s duties taxing i servicessector in which Washington records a commercial surplus. And the rates could therefore cause effects on the transatlantic activities of companies.
According to analysts, in Europe they come more American foreign direct investments than in the remaining parts of the world. European companies represent almost two thirds of foreign direct investments in the USA. In practice, duties could make more Difficult for a community company send products which elaborates in Europe to the US company that should use them, while The “counter-dazi” of the EU Or another commercial partner could make the United States more difficult to export a finished product. Political uncertainty could induce companies to curb transatlantic investments. “The chain effects of the commercial conflict will not be limited to trade,” Hamilton said.
It is therefore obvious that, given that the US-EU merchant relationship is far The most consistent on the planetan effective war of duties between the two sides of the American empire would be expensive and deleterious for both sides. Speaking of butterfly effects, a bilateral escalation situation would also undermine the Resto operation that Donald Trump has so sponsored for the European provinces, since the costs for the already unlikely common European defense would vanish without commercial income. With even wider consequences: merchant chaos would offer fertile ground also to the renewed influence of the Russia in Europe, not to mention the already pressing aims of the great majority partner of Moscow: the Chinagreat rival of the United States.
