Trump, EU leader pledge to cut trade barriers, hold off on further tariffs
By Steve Holland and David Lawder WASHINGTON (Reuters) - U.S. President Donald Trump and the European Union's chief executive, Jean-Claude Juncker, agreed on Wednesday to work toward eliminating trade barriers on industrial goods, as Trump appeared to give ground on his threat to impose car tariffs. The agreement to pull together a 'high-level working group' to negotiate the tariff, subsidy and non-tariff barrier reductions could reduce fears of an escalating transatlantic trade war launched by Trump's tariffs on steel and aluminium and a threat to impose a 25 percent tariff on imported cars and auto parts
By Steve Holland and David Lawder
WASHINGTON (Reuters) - U.S. President Donald Trump and the European Union's chief executive, Jean-Claude Juncker, agreed on Wednesday to work toward eliminating trade barriers on industrial goods, as Trump appeared to give ground on his threat to impose car tariffs.
The agreement to pull together a "high-level working group" to negotiate the tariff, subsidy and non-tariff barrier reductions could reduce fears of an escalating transatlantic trade war launched by Trump's tariffs on steel and aluminium and a threat to impose a 25 percent tariff on imported cars and auto parts.
News of the agreement helped global stocks extend their recent rally.
Trump and Juncker said after a White House meeting that they agreed to hold sweeping trade talks that also cover increased European purchases of American soybeans and liquefied natural gas (LNG) and reducing barriers to transatlantic trade in services, chemicals, pharmaceuticals and medical products.
They also said they would cooperate to reform the rules of the World Trade Organization.
But Trump agreed to "resolve" existing U.S. tariffs on European steel and aluminium as well as Europe's retaliatory tariffs against American motorcycles, bourbon and other products.
Juncker said that while negotiations were taking place on those issues, both sides had agreed not to impose new tariffs, including those threatened by Trump on autos and auto parts.
"As long as we are negotiating, unless one party would stop the negotiations, we will hold off further tariffs," Juncker said. "And we will reassess the existing tariffs on steel and aluminium."
Trump's threat to impose tariffs on auto imports would hit European carmakers BMW
The Commerce Department could recommend new tariffs as early as September after an investigation into whether car imports posed a risk to U.S. national security.
The two leaders did not specifically mention car tariffs in their statements, keeping the focus on other industrial products.
"We agreed today, first of all to work together toward zero tariffs, zero non-tariff barriers, and zero subsidies on non-auto industrial goods," Trump told reporters at the White House.
The Commission briefed EU countries last week on the bloc's possible response to car tariffs, saying in theory it could hit 9 billion euros of U.S. goods, according to EU sources.
($1 = 0.8551 euros)
(Reporting by Steve Holland and David Lawder; Additional reporting by David Shepardson and Johan Ahlander; Writing by David Lawder in Washington and Philip Blenkinsop in Brussels; Editing by Will Dunham and Peter Cooney)
This story has not been edited by Firstpost staff and is generated by auto-feed.
Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.
By Jessica Resnick-Ault NEW YORK (Reuters) - Oil prices strengthened on Wednesday, as OPEC and its allies were seen complying with a pact to cut oil supply in September, even as concerns loomed that recovery in fuel demand will be stalled by soaring global coronavirus cases. Early in the day crude was boosted by a bullish stock market. Even as equities whipsawed on pandemic worries, oil stayed higher, buoyed by expectations that OPEC could staunch a supply glut
By Tina Bellon and C Nivedita (Reuters) - Tesla Inc will further cut the price of its Model S "Long Range" sedan in the United States to $69,420, the electric carmaker's chief executive, Elon Musk, announced in a tweet https://bit.ly/2H0JCP0 on Wednesday. The anticipated drop marks the second time this week Tesla has cut the price for the high-end sedan, following a 4% cut of the Model S's price in the United States on Tuesday to $71,990.
By Jeff Mason DES MOINES, Iowa (Reuters) - Under siege over his handling of the novel coronavirus pandemic, President Donald Trump on Wednesday cited what he said was his son's mild bout of the virus as a reason why American schools should reopen as soon as possible. Trump made the comment about his son, Barron, as the president swept into Iowa on a mission to shore up support in battleground states that he won in 2016 but is in danger of losing to Democrat Joe Biden barely three weeks before the election. First lady Melania Trump announced in a statement earlier in the day that the virus that struck both her and her husband had also infected their 14-year-old son