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Trade war between U.S. and Europe can still be avoided - Germany

Reuters  |  BERLIN 

(Reuters) - A trade war between and the can still be averted, German said on Saturday, adding she hoped that talks in this weekend could help to prevent an escalation.

U.S. set import tariffs on Thursday of 25 percent on and 10 percent on aluminium but is under heavy pressure from allies including the and to dilute the measures.

U.S. Trade was due to meet EU and separately with Japanese on Saturday for long-planned talks that have taken on added urgency amid concerns that Trump's move could provoke a global trade war.

Zypries told Deutschlandfunk radio that so far no tariffs had been imposed and it was too early to talk about a looming trade war. "But we've reached a situation in which the preliminary skirmishes have become serious," she added.

Zypries said the EU's Malmstrom was trying to solve the dispute through negotiations, adding: "There are still talks going on, things are in flux, so if you want you could say it's still about diplomacy and not war."

The said Trump's proposed tariffs would violate the rules of the (WTO) and that would coordinate closely with the on how to react if Trump pushed ahead.

"Of course, we would have to take proceedings against him at the WTO," Zypries said. "And in addition, we will have to think about counter-measures."

(Reporting by Michael Nienaber; Editing by Gareth Jones)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Sat, March 10 2018. 16:18 IST
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