The Independent Uganda: You get the Truth we Pay the Price
The United States in fact maintains a trade surplus with Canada that amounted to nearly $8 billion in 2016, and nearly $3 billion in the first nine months of 2017.
The US has a deficit with Mexico that was $63 billion in 2016, and $52 billion in the first three quarters of last year.
Trump administration officials frequently refer to the deficit in goods alone, excluding the offset from dominant US services exports such as banking and insurance.
– Retaliation –
Trump also criticized the European Union for trade barriers on US companies and repeated his threat to slap tariffs on European car imports if Brussels retaliates against the steel tariffs.
“People have to understand, our country on trade has been ripped off by virtually every country in the world,” even by “people that we think are wonderful,” Trump said.
Repeating his concern about the US trade deficit of $800 billion last year, he said “the biggest problem is China.”
While Trump said he did not think there would be a trade war, US trading partners already are preparing to retaliate, and have pledged to file a dispute at the World Trade Organization.
French President Emmanuel Macron said the European Union must “react quickly” to US plans that clearly breached WTO rules.
Germany and Britain both sounded the alarm over damage to their trade relationships with the US.
The European Union has said it is drawing up measures against leading US brands like Harley-Davidson motorcycles and Levi’s jeans.
Trump said the EU has “trade barriers far worse than tariffs,” and again threatened to “tax their cars” if they go through with their response.
That is just the kind of tit-for-tat reaction that economists warn could spark a trade war at a time when the US and global economies have only recently returned to firmer footing.
