The US and EU have agreed to try and create an environment of zero tariffs, barriers or subsidies – an undertaking that appears to have diminished the prospect of a prolonged trade war between the two groups.
In a surprise announcement in the Rose Garden of the White House, Donald Trump and European Commission President Jean-Claude Juncker, said they had reached an understanding on lowering barriers between the two sides, whose annual trade in goods and services is worth more than $1 trillion.
“We agreed today, first of all, to work together towards zero tariffs, zero non-tariff barriers, and zero subsidies on non-auto industrial goods,” said Mr Trump, with Mr Juncker by his side.
Trump’s trade war could inflict $500bn of damage on world warns IMF
“We will also work to reduce barriers and increase trade in services, chemicals, pharmaceuticals, medical products, as well as soybeans.”
He added: “This was a very big day for free and fair trade.”
In turn, Mr Juncker said he “had the intention to make a deal today and we made a deal today”. He said while negotiations were ongoing, “we will hold off further tariffs” and reassess existing tariffs on steel and aluminium.
Ahead of their appearance at the White House, it was reported that the two men had agreed the EU would increase its imports of soybeans and liquefied natural gas. Markets jumped on the news of the deal.
“We had a big day, very big,” Mr Trump said. “We set out to launch a new phase of close friendship between the United States and the European Union, strong trade relationships where both of us will win.”
Jean Claude Juncker : US and EU agree to hold off on further tariffs as part of trade talksThe import of soybeans is a boost to American farmers, who have seen prices plummet after China slapped a retaliatory tariff on American goods including soybeans, in the wake of US tariffs on aluminium and steel.
Mr Trump had said earlier on Wednesday that the US was seeking a “level playing field” on trade with the EU.
“For years, the US has been losing hundreds of billions of dollars in trade with the European Union, and we just want it to be a level playing field for our farmers, for our manufacturers, for everybody and we also want a big beneficiary, frankly, to be the European Union and we think it can be good for everybody and that’s why we are here to discuss,” he said, sitting alongside Mr Juncker in the Oval Office.
The agreement is likely to dispel fears of an escalating trade war in the wake of Mr Trump’s decision to place a 25 per cent tariff on steel imports and a 10 per cent tariff on aluminium imports. The EU subsequently retaliated with tariffs on a number of US goods.
A man who was injured in a suspected suicide bomb attack outside a polling station, receives medical treatment at a hospital in Quetta. At least 25 people were killed and 30 injured in the incident. Polling stations in Pakistan opened for the general election for around 105 million constituents. Voters will have to choose from 11,000 candidates to elect 272 members of the Parliament for the next term. These elections are the second in Pakistan's history in which a government was able to complete its term to make way for another government after being ruled by military dictators for half of the 71 years of its existence since its founding in 1947
EPA
A woman reacts as she tries to find her dog, following a wildfire at the village of Mati, near Athens, Greece. At least 60 people are thought to have been killed
Reuters
A house is threatened by a huge blaze during a wildfire in Kineta, near Athens. More than 300 firefighters, five aircraft and two helicopters were mobilised to tackle the "extremely difficult" situation due to strong gusts of wind, Athens fire chief Achille Tzouvaras said
AFP/Getty Images
Israeli-annexed Golan Heights shows a smoke plume rising across the border in Quneitra in southwestern Syria, as rebels destroy their arms stocks prior to their departure
Getty
A Syrian child looks through the window of a bus as displaced people from the Quneitra province wait at the Morek crossing point to be transfered in the provinces of Idlib and Aleppo, northwestern Syria. The transfers come under a surrender deal agreed this week between Russia and Syrian rebels in Quneitra province that will see the sensitive zone fall back under state control. Rebels will hand over territory they control in Quneitra and the neighbouring buffer zone with the Israeli-occupied Golan, a war monitor and a rebel
AFP/Getty Images
Men push a car past a flooded street in Ahmadabad, India. Hundreds of people have been rescued from flood affected areas in the past week as incessant rains continue to lash Gujarat state
AP
Arab lawmakers stand up in protest during a Knesset session in Jerusalem. Israel's parliament approved a controversial piece of legislation that defines the country as the nation-state of the Jewish people but which critics warn sidelines minorities
AP
The 12 boys and their soccer coach who were rescued from a flooded cave arrive for a news conference in the northern province of Chiang Rai, Thailand
Reuters
President Barack Obama delivers the 16th Nelson Mandela annual lecture, marking the centenary of the anti-apartheid leader's birth, in Johannesburg, South Africa
Reuters
French supporters celebrate on the Champs Elysees their team's victory after the World Cup 2018 final between France and Croatia
EPA
Hugo Lloris lifts the trophy after France beat Croatia 4-2 in the World Cup final in the Luzhniki Stadium in Russia
AP
Germany's Angelique Kerber beat seven-time champion US player Serena Williams in the Wimbledon final. Kerber won her first Wimbledon title
PA
Firefighters using fire helicopters fighting wildfires in Sordal in Setesdalen in the southern part of Norway. The fires are thought to be caused by lightning in the very dry landscape
EPA
The Syrian national flag rises in the midst of damaged buildings in Daraa-al-Balad an opposition-held part of the southern city of Daraa. Syria's army entered rebel-held parts of Daraa city, state media said, raising the national flag in the cradle of the uprising that sparked the country's seven-year war, following a deal for rebels to hand over their heavy weapons in Daraa al-Balad and other opposition-held parts of the city
AFP
US President Donald Trump and Nato Secretary General Jens Stoltenberg attend a bilateral breakfast ahead of the NATO Summit in Brussels
Reuters
The last four Thai Navy SEALs come out safely after completing the rescue mission inside a cave where 12 boys and their soccer coach have been trapped since June 23, in Mae Sai, Chiang Rai province, northern Thailand. Thailand's navy SEALs say all 12 boys and their soccer coach have been rescued from a flooded cave in far northern Thailand, ending an ordeal that lasted more than two weeks
Royal Thai Navy via AP
Indonesia worker and firefighters try to extinguish a fire on fishing boats at Benoa harbour in Denpasar, on Indonesia's resort island of Bali. A massive fire laid waste to dozens of boats at a Bali port as firefighters battled to bring the dramatic blaze under control
Getty
Russia's football team are greeted celebrated by fans during a visit at the Moscow's fan zone after they were knocked out of the World Cup in their quarter final match against Croatia on penalties
Getty
Residents look over the flooded town by heavy rain in Kurashiki, Okayama Prefecture, western Japan. Heavy rainfall killed 47 people, missing more than 49 people and five others in serious condition in southwestern and western Japan, public television reported on 07 July 2018. Japan Meteorological Agency has warned record rainfall on 06 July for flooding, mudslides in southwestern and western Japan. In nine prefectures in western and southwestern Japan, authorities issued evacuation orders to more than one million of people in southwestern and western Japan
EPA
An honour guard hold up a picture of Samarn Kunan, 38, a former member of Thailand's elite navy SEAL unit who died working to save 12 boys and their soccer coach trapped inside a flooded cave, at an airport in Rayong province, Thailand
Reuters
The International Space Station, center, passes in front of the Moon in its Earth orbit as photographed from Salgotarjan, Hungary
MTI via AP
Former Malaysia Prime Minister Najib Razak (C) arrives at Kuala Lumpur High Court in Kuala Lumpur, Malaysia. Malaysia's former prime minister Najib Razak appeared in court to face graft charges linked to the the 1Malaysia Development Berhad (1MDB) scandal
EPA
Rescue workers come out from the Tham Luang cave complex, as members of under-16 soccer team and their coach have been found alive according to a local media's report, in the northern province of Chiang Rai, Thailand
Reuters
Firefighters scramble to control flames surrounding a fire truck as the Pawnee fire jumps across highway 20 near Clearlake Oaks, California
Getty
Presidential candidate Andres Manuel Lopez Obrador greets supporters as he arrives at a polling station during the presidential election in Mexico City
Reuters
North Korea leader Kim Jong Un inspects Unit 1524 of the Korean People's Army (KPA)
KCNA via Reuters
Mount Agung's crater glows red from the lava as it spews volcanic smoke on Bali Island. The Indonesian tourist island closed its international airport, stranding thousands of travelers, as the Mount Agung volcano gushed a 2,500-meter (8,200-feet) column of ash and smoke
AP
The remains of market stalls smoulder after a fire swept through a marketplace in Nairobi, Kenya. Several people have died in the fire and about 70 are receiving hospital treatment, with rescue teams left searching through the scene
AP
Smoke rises in the rebel-held town of Nawa in southern Syria during airstrikes by Syrian regime forces. Syria's army launched an assault on the flashpoint southern city of Daraa state media said, after a week of deadly bombardment on the nearby countryside caused mass displacement. Government forces have set their sights on retaking the south of the country, a strategic area that borders Jordan and the Israeli-occupied Golan Heights
Getty
French President Emmanuel Macron greets Pope Francis at the end of a private audience at the Vatican
Getty
The frame of an abandoned Peugeot 404 rests in Niger's Tenere desert region of the south central Sahara on Sunday, June 3, 2018. Once a well-worn roadway for overlander tourists, the highway 4,500 kilometers (2,800 miles) are a favored path for migrants heading north in hopes of a better life and more recently thousands who are being expelled south from Algeria
AP
Saudi women celebrate after they drove their cars in Al Khobar after the law allowing women to drive took effect. Saudi Arabia will allow women to drive from June 24, ending the world's only ban on female motorists
Reuters
People gather as the injured are helped by medics at the scene of an explosion during a rally to support the country's new reformist prime minister Abiy Ahmed in Meskel Square in Addis Ababa, Ethiopia. Reports say the blast occurred shortly after he addressed thousands of his supporters. He then spoke to the crowd afterwards, saying a people had been killed
EPA
Participants of the Dark Mofo Nude Solstice Swim are seen in the River Derwent at dawn, in Hobart, Australia
Reuters
Indian Prime Minister Narendra Modi participates in a mass yoga session along with other practitioners to mark International Yoga Day at the Forest Research Institute (FRI) in Dehradun. Tens of thousands of yoga practitioners worldwide on June 21 are expected to celebrate the fourth annual International Yoga Day, first proposed by the Indian PM in 2014 to the UN General Assembly and adopted unanimously
Getty
A woman and child are told they will have to wait before crossing the US border as confusion sets in following the Trump administration's "zero tolerance" policy on immigration
Getty
People wave a banner with a picture of Turkish President Recep Tayyip Erdogan during a gathering of supporters of his ruling Justice and Development Party (AKP) in Istanbul, Turkey,. Turkish President Erdogan announced on 18 April that Turkey will hold snap presidential and parliamentary elections on 24 June 2018, after elections were scheduled to be held in November 2019
EPA
Residents pass by a temple gate collapsed by an earthquake in Ibaraki, Osaka Prefecture, western Japan. The earthquake, which struck western Japan, killed three people and injured more than 50
EPA
Juan Carlos Osorio, manager of Mexico's national football team, celebrates their World Cup victory against Germany
Getty
Kashmiri youths through stones during clashes between protestors and Indian government forces in Srinagar
Getty
People are silhouetted on the flybridge of a yacht as fireworks illuminates the sky over the Yas Viceroy luxury hotel on the first day of the Muslim holiday of Eid Al-Fitr at the Marina on Yas Island, Abu Dhabi
EPA
Somali Muslims take part in Eid al-Fitr prayer which marks the end of the holy month of Ramadan at the football pitch of the Jamacadaha stadium in Mogadishu
Getty
Artists perform during the opening ceremony of the 2018 World Cup in Russia ahead of the group A match between Russia and Saudi Arabia at Luzhniki Stadium in Moscow
Getty
Pope Francis arrives to lead the Wednesday general audience in Saint Peter's square at the Vatican
Reuters
US President Donald Trump shakes hands with North Korean leader Kim Jong Un during their historic meeting at the Capella Hotel on Sentosa island in Singapore
Reuters
US President Donald Trump looking at a cake being brought for him during a working lunch with Singapore's Prime Minister Lee Hsien Loong during his visit to The Istana, the official residence of the prime minister, in Singapore. Kim Jong Un and Donald Trump will meet on June 12 for an unprecedented summit, with the US President calling it a "one time shot" at peace
Getty
Muharrem Ince, presidential candidate of Turkey's main opposition Republican People's Party (CHP), delivers a speech from the roof of a bus during a campaign meeting in Istanbul
Getty
French President Emmanuel Macron, German Chancellor Angela Merkel and Japan's Prime Minister Shinzo Abe speaking to US Presidend Donald Trump during the second day of the G7 meeting in Charlevoix, Canada. Looking on is US National Security Advisor John Bolton
EPA
Former South African President Jacob Zuma sings and dances on stage after delivering a speech during a rally in his support outside the High Court, in Durban
Getty
Russian President Vladimir Putin listens to a question during his annual call-in show in Moscow. Putin hosts call-in shows every year, which typically provide a platform for ordinary Russians to appeal to the president on issues ranging from foreign policy to housing and utilities
AP
A man who was injured in a suspected suicide bomb attack outside a polling station, receives medical treatment at a hospital in Quetta. At least 25 people were killed and 30 injured in the incident. Polling stations in Pakistan opened for the general election for around 105 million constituents. Voters will have to choose from 11,000 candidates to elect 272 members of the Parliament for the next term. These elections are the second in Pakistan's history in which a government was able to complete its term to make way for another government after being ruled by military dictators for half of the 71 years of its existence since its founding in 1947
EPA
A woman reacts as she tries to find her dog, following a wildfire at the village of Mati, near Athens, Greece. At least 60 people are thought to have been killed
Reuters
A house is threatened by a huge blaze during a wildfire in Kineta, near Athens. More than 300 firefighters, five aircraft and two helicopters were mobilised to tackle the "extremely difficult" situation due to strong gusts of wind, Athens fire chief Achille Tzouvaras said
AFP/Getty Images
Israeli-annexed Golan Heights shows a smoke plume rising across the border in Quneitra in southwestern Syria, as rebels destroy their arms stocks prior to their departure
Getty
A Syrian child looks through the window of a bus as displaced people from the Quneitra province wait at the Morek crossing point to be transfered in the provinces of Idlib and Aleppo, northwestern Syria. The transfers come under a surrender deal agreed this week between Russia and Syrian rebels in Quneitra province that will see the sensitive zone fall back under state control. Rebels will hand over territory they control in Quneitra and the neighbouring buffer zone with the Israeli-occupied Golan, a war monitor and a rebel
AFP/Getty Images
Men push a car past a flooded street in Ahmadabad, India. Hundreds of people have been rescued from flood affected areas in the past week as incessant rains continue to lash Gujarat state
AP
Arab lawmakers stand up in protest during a Knesset session in Jerusalem. Israel's parliament approved a controversial piece of legislation that defines the country as the nation-state of the Jewish people but which critics warn sidelines minorities
AP
The 12 boys and their soccer coach who were rescued from a flooded cave arrive for a news conference in the northern province of Chiang Rai, Thailand
Reuters
President Barack Obama delivers the 16th Nelson Mandela annual lecture, marking the centenary of the anti-apartheid leader's birth, in Johannesburg, South Africa
Reuters
French supporters celebrate on the Champs Elysees their team's victory after the World Cup 2018 final between France and Croatia
EPA
Hugo Lloris lifts the trophy after France beat Croatia 4-2 in the World Cup final in the Luzhniki Stadium in Russia
AP
Germany's Angelique Kerber beat seven-time champion US player Serena Williams in the Wimbledon final. Kerber won her first Wimbledon title
PA
Firefighters using fire helicopters fighting wildfires in Sordal in Setesdalen in the southern part of Norway. The fires are thought to be caused by lightning in the very dry landscape
EPA
The Syrian national flag rises in the midst of damaged buildings in Daraa-al-Balad an opposition-held part of the southern city of Daraa. Syria's army entered rebel-held parts of Daraa city, state media said, raising the national flag in the cradle of the uprising that sparked the country's seven-year war, following a deal for rebels to hand over their heavy weapons in Daraa al-Balad and other opposition-held parts of the city
AFP
US President Donald Trump and Nato Secretary General Jens Stoltenberg attend a bilateral breakfast ahead of the NATO Summit in Brussels
Reuters
The last four Thai Navy SEALs come out safely after completing the rescue mission inside a cave where 12 boys and their soccer coach have been trapped since June 23, in Mae Sai, Chiang Rai province, northern Thailand. Thailand's navy SEALs say all 12 boys and their soccer coach have been rescued from a flooded cave in far northern Thailand, ending an ordeal that lasted more than two weeks
Royal Thai Navy via AP
Indonesia worker and firefighters try to extinguish a fire on fishing boats at Benoa harbour in Denpasar, on Indonesia's resort island of Bali. A massive fire laid waste to dozens of boats at a Bali port as firefighters battled to bring the dramatic blaze under control
Getty
Russia's football team are greeted celebrated by fans during a visit at the Moscow's fan zone after they were knocked out of the World Cup in their quarter final match against Croatia on penalties
Getty
Residents look over the flooded town by heavy rain in Kurashiki, Okayama Prefecture, western Japan. Heavy rainfall killed 47 people, missing more than 49 people and five others in serious condition in southwestern and western Japan, public television reported on 07 July 2018. Japan Meteorological Agency has warned record rainfall on 06 July for flooding, mudslides in southwestern and western Japan. In nine prefectures in western and southwestern Japan, authorities issued evacuation orders to more than one million of people in southwestern and western Japan
EPA
An honour guard hold up a picture of Samarn Kunan, 38, a former member of Thailand's elite navy SEAL unit who died working to save 12 boys and their soccer coach trapped inside a flooded cave, at an airport in Rayong province, Thailand
Reuters
The International Space Station, center, passes in front of the Moon in its Earth orbit as photographed from Salgotarjan, Hungary
MTI via AP
Former Malaysia Prime Minister Najib Razak (C) arrives at Kuala Lumpur High Court in Kuala Lumpur, Malaysia. Malaysia's former prime minister Najib Razak appeared in court to face graft charges linked to the the 1Malaysia Development Berhad (1MDB) scandal
EPA
Rescue workers come out from the Tham Luang cave complex, as members of under-16 soccer team and their coach have been found alive according to a local media's report, in the northern province of Chiang Rai, Thailand
Reuters
Firefighters scramble to control flames surrounding a fire truck as the Pawnee fire jumps across highway 20 near Clearlake Oaks, California
Getty
Presidential candidate Andres Manuel Lopez Obrador greets supporters as he arrives at a polling station during the presidential election in Mexico City
Reuters
North Korea leader Kim Jong Un inspects Unit 1524 of the Korean People's Army (KPA)
KCNA via Reuters
Mount Agung's crater glows red from the lava as it spews volcanic smoke on Bali Island. The Indonesian tourist island closed its international airport, stranding thousands of travelers, as the Mount Agung volcano gushed a 2,500-meter (8,200-feet) column of ash and smoke
AP
The remains of market stalls smoulder after a fire swept through a marketplace in Nairobi, Kenya. Several people have died in the fire and about 70 are receiving hospital treatment, with rescue teams left searching through the scene
AP
Smoke rises in the rebel-held town of Nawa in southern Syria during airstrikes by Syrian regime forces. Syria's army launched an assault on the flashpoint southern city of Daraa state media said, after a week of deadly bombardment on the nearby countryside caused mass displacement. Government forces have set their sights on retaking the south of the country, a strategic area that borders Jordan and the Israeli-occupied Golan Heights
Getty
French President Emmanuel Macron greets Pope Francis at the end of a private audience at the Vatican
Getty
The frame of an abandoned Peugeot 404 rests in Niger's Tenere desert region of the south central Sahara on Sunday, June 3, 2018. Once a well-worn roadway for overlander tourists, the highway 4,500 kilometers (2,800 miles) are a favored path for migrants heading north in hopes of a better life and more recently thousands who are being expelled south from Algeria
AP
Saudi women celebrate after they drove their cars in Al Khobar after the law allowing women to drive took effect. Saudi Arabia will allow women to drive from June 24, ending the world's only ban on female motorists
Reuters
People gather as the injured are helped by medics at the scene of an explosion during a rally to support the country's new reformist prime minister Abiy Ahmed in Meskel Square in Addis Ababa, Ethiopia. Reports say the blast occurred shortly after he addressed thousands of his supporters. He then spoke to the crowd afterwards, saying a people had been killed
EPA
Participants of the Dark Mofo Nude Solstice Swim are seen in the River Derwent at dawn, in Hobart, Australia
Reuters
Indian Prime Minister Narendra Modi participates in a mass yoga session along with other practitioners to mark International Yoga Day at the Forest Research Institute (FRI) in Dehradun. Tens of thousands of yoga practitioners worldwide on June 21 are expected to celebrate the fourth annual International Yoga Day, first proposed by the Indian PM in 2014 to the UN General Assembly and adopted unanimously
Getty
A woman and child are told they will have to wait before crossing the US border as confusion sets in following the Trump administration's "zero tolerance" policy on immigration
Getty
People wave a banner with a picture of Turkish President Recep Tayyip Erdogan during a gathering of supporters of his ruling Justice and Development Party (AKP) in Istanbul, Turkey,. Turkish President Erdogan announced on 18 April that Turkey will hold snap presidential and parliamentary elections on 24 June 2018, after elections were scheduled to be held in November 2019
EPA
Residents pass by a temple gate collapsed by an earthquake in Ibaraki, Osaka Prefecture, western Japan. The earthquake, which struck western Japan, killed three people and injured more than 50
EPA
Juan Carlos Osorio, manager of Mexico's national football team, celebrates their World Cup victory against Germany
Getty
Kashmiri youths through stones during clashes between protestors and Indian government forces in Srinagar
Getty
People are silhouetted on the flybridge of a yacht as fireworks illuminates the sky over the Yas Viceroy luxury hotel on the first day of the Muslim holiday of Eid Al-Fitr at the Marina on Yas Island, Abu Dhabi
EPA
Somali Muslims take part in Eid al-Fitr prayer which marks the end of the holy month of Ramadan at the football pitch of the Jamacadaha stadium in Mogadishu
Getty
Artists perform during the opening ceremony of the 2018 World Cup in Russia ahead of the group A match between Russia and Saudi Arabia at Luzhniki Stadium in Moscow
Getty
Pope Francis arrives to lead the Wednesday general audience in Saint Peter's square at the Vatican
Reuters
US President Donald Trump shakes hands with North Korean leader Kim Jong Un during their historic meeting at the Capella Hotel on Sentosa island in Singapore
Reuters
US President Donald Trump looking at a cake being brought for him during a working lunch with Singapore's Prime Minister Lee Hsien Loong during his visit to The Istana, the official residence of the prime minister, in Singapore. Kim Jong Un and Donald Trump will meet on June 12 for an unprecedented summit, with the US President calling it a "one time shot" at peace
Getty
Muharrem Ince, presidential candidate of Turkey's main opposition Republican People's Party (CHP), delivers a speech from the roof of a bus during a campaign meeting in Istanbul
Getty
French President Emmanuel Macron, German Chancellor Angela Merkel and Japan's Prime Minister Shinzo Abe speaking to US Presidend Donald Trump during the second day of the G7 meeting in Charlevoix, Canada. Looking on is US National Security Advisor John Bolton
EPA
Former South African President Jacob Zuma sings and dances on stage after delivering a speech during a rally in his support outside the High Court, in Durban
Getty
Russian President Vladimir Putin listens to a question during his annual call-in show in Moscow. Putin hosts call-in shows every year, which typically provide a platform for ordinary Russians to appeal to the president on issues ranging from foreign policy to housing and utilities
AP
In what threatened to be a further escalation, Mr Trump’s aides had said he wanted to impose a further 25 per cent tariffs on auto imports, a move that would hit European car-makers like BMW and Volkswagen hard, as well as Japanese and South Korean car companies.
Mr Juncker told Mr Trump the two trading partners were “allies, not enemies”. “We should talk about reducing tariffs instead of increasing them,” Mr Juncker said, as Mr Trump nodded.
Just two weeks ago, the US president called the 28-nation strong EU, which includes many of the US’s oldest allies, an unfair trading partner and even labelled it a “foe”. Speaking to CBS on the eve of a meeting with Vladimir Putin in Helsinki, Mr Trump said the EU was an enemy because of “what they do to us in trade”.
Asked who was the US’s biggest enemy globally, Mr Trump said: “Well I think we have a lot of foes. I think the European Union is a foe, what they do to us in trade. Now you wouldn’t think of the European Union but they’re a foe.”
He added: “Russia is a foe in certain respects. China is a foe economically, certainly they are a foe. But that doesn’t mean they are bad. It doesn’t mean anything. It means that they are competitive.”
The Associated Press said the negotiations at the White House came as Mr Trump has touched off a series of trade disputes with global trading partners, including China, whom he accused earlier on Wednesday of employing “vicious” tactics aimed at hurting American farmers.
Mr Trump’s defence came after his administration announced a plan to provide $12bn in emergency relief for farmers who have been slammed by the president’s trade disputes with China and other countries.
Chinese President Xi Jinping said at an international summit in South Africa that the world faces “a choice between cooperation and confrontation”, in remarks that criticised escalating US tariffs on goods from China and other major trading partners. He warned that those who pursue “economic hegemony only end up hurting themselves”.
If the US and EU were to deepen their trade war involving car manufacturing, it would have major ramifications for both economies. The EU has a huge stake in the US industry, where European companies produce almost 3 million cars a year, accounting for over a quarter of production in the United States.
On Tuesday, Mr Trump had suggested in a tweet: “Both the US and the EU drop all Tariffs, Barriers and Subsidies! That would finally be called Free Market and Fair Trade! Hope they do it, we are ready – but they won’t!”
After the meeting on Wednesday evening he tweeted once again.
“The United States and the European Union have a $1 TRILLION bilateral trade relationship – the largest economic relationship in the world,” he said. ”We want to further strengthen this trade relationship to the benefit of all American and European citizens.”