Merkel says US auto tariffs a threat to the prosperity of many

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Europe

German Chancellor Angela Merkel said on Friday she thought US tariffs on imported cars would be against World Trade Organisation (WTO) rules and endanger the prosperity of many people.

The European Union was working on countermeasures, but these would be by far the worst solution, she added.

“We see these potential tariffs not only as a violation of WTO rules but also as a real threat to the prosperity of many in the world,” Merkel told a news conference.

Japan's Abe says Japanese auto imports are no threat to US national security

Japan’s Prime Minister Shinzo Abe said on Friday imports of Japanese automobiles pose no threat to US national security, vowing to convince President Donald Trump not to impose tariffs that could damage the global economy.

“Imports of our nation’s automobiles and auto parts have never damaged US national security and will not do so in the future,” Abe said at a news conference to mark the end of the parliamentary session.

Washington launched an investigation in May into whether imported vehicles were a threat to national security. Trump has repeatedly threatened to impose tariffs as a key part of his economic message, repeatedly lamenting the US auto sector trade deficit, particularly with Germany and Japan.

Abe said Japanese companies built some 3.8 million cars annually in the United States, more than double the number of vehicles shipped there from Japan.

“Trade restrictions will not benefit anyone, and we will keep explaining that to the US and work closely with them to ensure those tariffs are not imposed, “ Abe said.

Source(s): Reuters