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Outlook for a future EU-US trade agreement is poor

Wednesday, June 19, 2019


EU-US trade.


US President Donald Trump’s ‘America First’ trade policy threatens the highly interconnected transatlantic economy. This presents a serious challenge to the EU and certain member states more than others, and resolving this tension is unlikely in the near future.


  • Some US protectionist trade tendencies are likely to continue post-Trump.
  • Trump's accusations that the euro is unfairly undervalued raises the (faint) prospect of an even more profound transatlantic dispute.
  • The importance of the US economy to European firms enables Washington to enforce secondary sanctions.

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