Dear Donald Trump, Please Prove Me Wrong

Trump says he believes in free trade and the elimination of tariffs. Does he? We are about to find out.

Politico reports EU says it is willing to scrap car tariffs in US trade deal.

>We said that we are ready from the EU side to go to zero tariffs on all industrial goods, of course if the U.S. does the same, so it would be on a reciprocal basis, Malmström told the European Parliaments trade committee.

>We are willing to bring down even our car tariffs down to zero if the U.S. does the same, she said, adding that it would be good for us economically, and for them.

>The EUs car tariff of 10 percent is higher than the general U.S. auto tariff of 2.5 percent, but America imposes a 25 percent duty on light trucks and pickups.

I called Trump's free trade proposal a bluff.

Dear Donald Trump ...

Please prove me wrong. As a free trade advocate, I will be more than pleased to admit I was wrong.

Mike "Mish" Shedlock

Comments (25)
No. 1-11
Realist
Realist

Bravo! Zero tariffs. Bring it on! Now have the US do the same for all other industrialized countries. And while theyre at it, they could reduce the hundreds of billions that the US spends on subsidies. Consumers would benefit.

Top-GUN
Top-GUN

Zero on industrial goods....HOW About Agricultural goods.... France is notorious for it's protectionism!!!

thimk
thimk

i was waiting for your comments after reading trump's response, and it didn't take long. good deal for America, industrial capital potentially might flow into the US. Potus speaks with forked tongue.

2banana
2banana

Mish - so much hate against DJT and yet he now has the EU at the bargaining table with zero tariffs for cars.

Eight years of obama rolling over and playing dead - nothing we can do...globalism...manufacturing is dead in America...jobs Americans won't do...we will be a new service economy...sling that coffee while I blow bubbles with QE and ZIRP....utter bullsh!t.

And not a peep from you.

SweetKenny
SweetKenny

As Bloomberg notes, eliminating tariffs on U.S. auto imports "would do little for General Motors Co. and Ford Motor Co., but would lend a major boost to Germanys BMW AG and Daimler AG." SUVs assembled by the German carmakers in the American South dominate the models exported to Europe from the U.S.. Why trust the EU when they admit you have to lie when things get serious.