On May 31 Donald Trump issued steel and aluminum tariffs on the EU, Canada, and Mexico. Trump’s actions followed the findings of Secretary of Commerce Wilbur Ross’s Steel and Aluminum Reports to the President. These found that the United States ranks as the world’s largest importer of steel. US imports equal nearly four times its exports.
China’s steel production surpasses all nations
The report sites China as the greatest producer and exporter of steel, and the largest source of excess steel capacity. Their excess alone exceeds the total U.S. steel-making capacity. China produces in an average month nearly as much Steel as the US does in one year.
Commerce Department’s recommendations
The Commerce Department recommended with several other options a global tariff of at least 24% on all steel imports from all countries. They speculate this will increase domestic steel production from its present 73% of capacity to approximately an 80% operating rate. This provides the minimum rate needed for the long-term viability of the industry.
The EU Requested Negotiations with the US
According to the EU Commission ,the EU Commission engaged with the US at all possible levels to jointly address the problem of overcapacity in the steel sector. Despite the EU’s efforts Donald Trump announced his intent to take action to protect America’s national security from the effects of global oversupply of steel and aluminum. When Trump launched his tariffs the EU immediatly retaliated along with Canada with a list of US products in their scope to target. In addition they will file a dispute at the WTO’s dispute settlement system.
Trump Pushing Bilateral Trade
In April former two time head of the WTO Pascal Lamy wrote:
But the second interpretation is that Trump’s aim is to go bilateral instead of multilateral — to negotiate specific targeted trade preferences in favor of U.S. producers to the detriment of others. This will be resisted by the E.U. and probably, although not certainly, by China. This interpretation, of course, suggests a more systemic and dangerous challenge to the multilateral global trading system. The U.S. could be targeting the WTO system in order to blow it up, to make bilateralism the new norm, based on Trump’s belief that the U.S. will always win in a bilateral trade confrontation.
Trump Administration confirms bilateral aims
Pascal Lamy is correct and Trump confirmed this on May 31. According to the White House Press Department: In the initial proclamations in March, President Trump welcomed any country with which the United States shares a security relationship to discuss alternative means to address threatened impairment to the national security caused by their steel and aluminum exports to the United States. The President made it clear that the Administration was willing to work with those countries to find separate arrangements that would meet the national security requirements of the United States.
Notice the statement “was willing to work with those countries to find separate arrangements.” Although Trump spoke with with French President Macron on June 1, Trump underscored the need to rebalance trade with Europe. Given Trump’s aims, this means bilaterally and not with the EU as a whole.
Trump Influenced by Bannon and Farage
Trump’s bilateral view is no doubt fueled by those who he has surrounded himself with. Having made Steve Bannon his prior White House Chief Strategist, his anti EU sentiments are clear. Bannon who extended Briebart news into Europe, embraces EU far right politicians. These aim to dismantle the EU. According to Politico’s The Man Who Wants to Unmake the West, Bannon views the EU as an instrument for globalization and hates it. Bannon invited Nigel Farage the man responsible for BREXIT to speak at rally’s. Farage became another one to influence Trump on his policy’s.
Trump an Extension of Bannon and Farage
Trump seems to be following in these men’s footsteps with a total disregard for the European Union and an intent to reverse the World Order. It does appear as if Trump is throwing the weight of the US economy behind his endeavor.
Unfortunatly Trump is viewing the EU through the Steve Bannon and Nigel Farage lenses.
Trump fighting a giant
Can you expect a man who reads CNN and Fox news as his sources of information to have a decent picture of world affairs prior to his presidency? Trump hailed from the New York business scene. He relied on inferior new’s media that fail in their reporting of EU news. This was his exposure to the EU along with men like Bannon and Farage when he entered the Presidency. Most likely Trump’s views will not change.
Tradgetically for Trump he is fighting a Goliath and thinks he is up against a midget.We see in retaliation to the US tariffs, the EU will levy its own against US products. Canada has already taken the lead.
What does this mean for Bible Prophecy? How do Trump Tariffs fit in?
We know that the European Union is going to become the greatest world power to ever exist. Meanwhile the United States will lose its position as the leading power.
The EU is Hedging its Economy
The European Union already reigns as an economic powerhouse. Currently the EU has direct trade relations with 80 nations while the US only has about 20. The EU is continuing on the path to form stronger ties and trade pacts with other nations especially given the unpredicability of Trump’s presidency. In recent weeks we see the EU leaning toward China. In addition we are witnessing a warming toward Russia as well. This will provide the EU insurance as US EU relations continue to deteriorate. There is already talk of isolating the US in the World Trade Organization. Another possiblity if if the US economy tanks due to its own reckless policies.
The European Union and the United States have the largest bilateral trade and investment relationship and enjoy the most integrated economic relationship in the world. The EU and the US economies account together for about half the entire world GDP and for nearly a third of world trade flows. The EU is smart to begin to diversify and hedge its economy.
EU Flexing It’s Muscles
The EU’s mussels are beginning to show. With its 2.7 billion dollar fine against Google, 14.5 Billion tax fine against Apple and Facebook is next in line for a whopping fine we see the strength of the EU. Facebook might even find itself on the chopping block as an operating company within the EU frontier if it does not meet up to the EU’s Antitrust regulations. These are not based on US criteria. While the EU is showing its muscle in the business world, it is a midget in the political realm.
Donald Trump will cause a siesmic geopolitical shift
This is what is key about Donald Trump’s Tariffs. These tariffs acted as an earthquake around the globe. The EU has viewed a Trump presidency as a threat to the EU, given his NATO requirements and past statements. Yet nothing quaked the EU as strong as the aluminum and steel tariffs. With Trump now viewed as both reckless and unrelable, all the more the EU will forge on its own now into greater unity. It no longer can rely on the US in any way or in any area.
What Would Have Been Smart and helped the US?
TTIP The Smart US Move
What would have been a smart move on the part of Trump is to have taken his ideas and renegotiated NAFTA and concluded TTIP. TTIP stands for the Transatlantic Trade Investment and Partnership Deal. It hailed as the most far reaching and comprehensive trade deal the EU and US could have negotiated. Experts specualted the deal would boost the US’s GDP by 5% and the EU’s by 3.4%. Trump could have gotten his views heard. He could have negotiated various changes and been responsible for concluding the most comprensive trade pact between two of the world’s largest economies. This no doubt would have helped the US economy, which Trump is so fiercly protecting. If he wasn’t so anti EU, he could have accomplished what would have really been good for the US economy.
But, Trump instead has another role. He is aiding in the unfolding of Bible Prophecy. How is he aiding the unfolding of Bible Prophecy? He is also acting as a catalyst for the EU Empire to take a giant leap forward.
Donald Trump is Good for Bible Prophecy news
Not only will this occur and this lines with Bible Prophecy because the EU is the revived Roman empire. But, with EU elections looming next year,the field is being ripened for EU leaders to nominate a strong leader for the Commission. In the past and traditionally EU politicans pick a middle of the road Commission President who will not ruffle feathers. On the flip side, we know the US is going to decline. Therefore we can expect Trump’s trade policies to be to the detriment of the United States and contribute to its decline, while the EU will gain greater unity and power. It will weather the US storm and come out stronger, while the US will weaken as a result of these policies.
These are no doubt exciting times in which we live as we watch Bible Prophecy unfold before our very eyes!