Now that the countries have surrendered to the tariff, Trump will return to more Trade war

Governments were falling on each other to make concessions to US President Donald Trump with the passage of the tariff deadline on August 1. On Sunday, US President has scored his largest victory so far, as European Union President Ursula von der Lin, like the leader of an Emperor State, has traveled to the Trump’s Golf Stadium in Scotland to present it.

It came in the form of a tariff agreement completely, as Brussels accepted a significant increase in customs tariffs and pledged to spend hundreds of billions of dollars on fossil fuels and American military products.

The agreement has changed the balance between two of the world’s largest economic powers. The European Union has simply continued without a fight. French Prime Minister Francois Bayro described it as a “dark day” of the union, while the European diplomat was asking “Those who did not flow together are suspended separately.”

The economic impact on the rest of the world is likely to be worse. Trump has declared economic war on both friends and enemies. Many countries face a tariff higher than the European Union and less able to defend themselves. By surrendering, Brussels made it difficult for other countries to stand.

For example, a 40 percent customs tariff for Laos or 36 percent on Cambodia will be devastating to export industries that American companies encouraged to build in recent decades. Without a unified front, other countries reluctantly come to the table.

Last week, Trump announced a deal with the Philippines compared to 19 percent of the customs tariff for all the goods that were exported to the United States and there is no tariff for imported American goods; It was not clear whether Manila fully agreed to this arrangement before the US President announced this. The Indonesia deal is worse than that, as it forced the state to abandon the controls on its critical metal exports and aspects of its emerging digital sector – both of which are necessary to develop the economy. For Brazil, American demands exceed the economic field, as Washington is moving further than an attempt to interfere in the prosecution of former President Geer Bolsonaro.

While the provisions of different commercial deals differ, they all follow the same strategy: governments are going through to change their bases and regulations in favor of the interests of American companies, especially those in the few who surround the president.

Trump’s commercial negotiation method may be very irregular, but his goal is a clear final goal: to raise the global economic system, to replace the rules that were already unfair with the absolute domination of the largest fatwa.

The immediate effect of restructuring will be bad for the countries they are subject to, but this will not be the end of the story. By giving Trump what he wanted, they strengthened his hand, and will return to more.

Indeed, the European Union has little clarity over a set of additional definitions that the American president may bring and how it will affect the “deal” made. Canada gave up the digital services tax on large technology for a deal, just to reach a higher tariff. The Philippines are now facing a tariff higher than it was in April, although concessions are made. The UK thought that it had a steel deal, just to discover it really did not.

There is no justice in any of this. The only way out is to stand in the face of Trump. He does not respect weakness.

As a minimum, for the countries that signed a deal, this means implementing as much as possible. Governments that can lack this must be done. This does not necessarily mean that the customs tariffs are matching, a policy that can cause serious self -harm, but rather by using tools that show their strength better.

The European Union has a broad power to challenge the American services trade, and it should lack by limiting the arrival of American companies, for example, government contracts, financial markets and intellectual property protection.

In failure to take such a measure, the European Union has shown a deep misunderstanding at the present time.

But in Europe and the United States, the public had enough global economy dominated by companies. There is no return to this world. Revenge policies such as the above mentioned cannot increase the pain directed to Trump’s Oligarian friends, but they can also help relax the power of monopolies that fall into the heart of our ineffective and unparalleled economy.

This last point is important. Because if we want Trump to disappear, as millions of Americans do, we will not get there by handing him unnecessary victories. Trump won power by building a bridge between those who dominate the economy dominated by companies and corporate barons themselves. It was an impressive achievement. But the coalition will only continue as long as it won.

The question now is how governments can protect their long -term economies, and this should come by restoring sovereignty, and not handing them to the fatwa in the White House. Moreover, such a procedure can show Trump to the total pressure of companies, which is actually and puts a path to his final fall.

The opinions expressed in this article are the author of the author and do not necessarily reflect the position of the editorial island.