It is a matter of numbers

As most of the unexplainable things the Trump´s Administration is doing, they decided to embark on a trade war with the European Union by applying tariffs to steel and aluminum that the US imports from the member states of the EU.

President Trump and his advisers seem to forget that since the 1980´s, the United States of America changed the way its economy works and has gone from being a manufacturing country to an importing country of finished goods.

They also seem to have forgotten that this decision was typical of the North American economy, during the boom of the economy based on resource´s optimization and financial speculation, in which businessmen decided that it would be better to import goods from Asian and South American countries because it would represent a substantial saving in labor costs.

However, as if this were not enough, the Trump administration raises a whole uproar for the alleged application of tariffs to the import of steel and aluminum from the European Union, which amounted to 2017 to 7.3 billion dollars.

Meanwhile, the European Union has already indicated a list of imports from the United States that will be affected by reciprocity for an amount of 268 billion dollars. This makes me wonder, does it worth it?

Who is going to feel most of the consequences

Certainly, it won´t be Mr. Trump. Keep in mind all the good the United States imports today from the European Union.

From clothes, cars, bikes, chocolates and so on, to which the American people have become accustomed and on which they will experience an increase substance that will definitely cause a lot of discomfort in people.

Nevertheless, do not think about the future, think about those who already have something that is of European origin and whose maintenance is going to be affected as a consequence of the increase in prices because of the tax battle.

However, apparently, the current President and his economic team are very bad in history lessons and economic theory 101.

Finally, we need to remember the United States exports more to the European Union than the other way around.

 

2 Things you should know about the trade war between Trump and the E.U.

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