Mubasher: German Economy Minister Peter Altmaier has taken aim at US President Donald Trump’s tariff and sanction policies, adding that Europe would not yield to US pressure regarding the continent’s stance on Iran.
“This trade war is slowing down and destroying economic growth - and it creates new uncertainties,” Altmaier told Bild am Sonntag newspaper, adding that consumers are caught in the crossfire as higher tariffs meant pushing prices higher.
The US initiated a trade dispute with levying import tariffs which aimed at protecting US jobs against what President Trump considered as unfair trade practices by Europe and China among other countries. The European Union (EU) responded with retaliatory tariffs on some US imports.
Trump also threatened to slap EU auto imports with tariffs, but reached a deal with European Commission President Jean-Claude Juncker at their meeting in Washington last month to refrain from the action.
Altmaier praised the agreement between the US and the EU, as it saved hundreds of thousands of jobs in Europe.
It can be just a step to “our goal” of having “a global trade order with lower tariffs, less protectionism and open markets,” the German minister added.
As for the re-instated US sanctions against Iran, the minister said that Germany and its EU partners would still support firms in conducting businesses with Iran.
“We won’t let Washington dictate us with whom we can do business and we therefore stick to the Vienna Nuclear Agreement so that Iran cannot build atomic weapons,” Altmaier said.
The White House’s determination to proceed with sanctions on Iran is also targeting European companies doing business in the oil-rich Persian Gulf country.
Some firms suspended their investment plans in Iran on the grounds of the re-instated US sanctions, including German Daimler and French energy major Total as well as Renault.
Moreover, German business associations warned that the US sanction and tariff policies, including the sanctions on Iran and duties on Chinese imports, are increasingly impacting companies.
Although these issues are impairing growth outlook for Europe’s largest economy, Altmaier expects a solid growth this year owing dynamic domestic demand, record high employment and hiking wages.
