Jan 29, 2018 - Politics & Policy

EU warns it will retaliate if Trump starts a trade war

Photo: Nicholas Kamm / AFP via Getty Images

The European Union said Monday that it is prepared to “react swiftly and appropriately” if President Trump takes retaliatory measures on what he deems "very unfair" trade policies in the EU, reports AP.

Why it matters: The EU's warning highlights the stark difference between Trump's approach to trade and his predecessor's. Under Barack Obama, the U.S. and EU worked to create "a massive free trade zone" — an effort that crumbled once Trump began promoting trade deals in line with his America First agenda.

Trump, less than 24 hours ago: “I’ve had a lot of problems with European Union, and it may morph into something very big from that standpoint, from a trade standpoint,” Trump said in an interview with Piers Morgan.

Response from EU chief spokesman Margaritis Schinas: "The EU stands ready to react swiftly and appropriately in case our exports are affected by any restrictive trade measure from the United States... while trade has to be open and fair it also has to be rules-based.”

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Coronavirus dashboard

Illustration: Eniola Odetunde/Axios

  1. Global: Total confirmed cases as of 5 p.m. ET: 18,912,947 — Total deaths: 710,318— Total recoveries — 11,403,473 — Map.
  2. U.S.: Total confirmed cases as of 5 p.m. ET: 4,867,916 — Total deaths: 159,841 — Total recoveries: 1,577,851 — Total tests: 58,920,975 — Map.
  3. Politics: Pelosi rips GOP over stimulus negotiations: "Perhaps you mistook them for somebody who gives a damn" — Ohio Gov. Mike DeWine tests positive.
  4. Public health: Majority of Americans say states reopened too quickly — Fauci says task force will examine aerosolized spread.
  5. Business: The health care sector imploded in Q2 — More farmers are declaring bankruptcy — July's jobs report could be an inflection point for the recovery.
  6. Sports: Where college football's biggest conferences stand on playing.
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