The European Union's willingness to negotiate the lingering trade disputes with the United States is a vindication of President Donald Trump's trade policy, his Commerce Secretary Wilbur Ross has said.
A day after the EU and the US reached an understanding to defuse tensions over trade issues, Ross told reporters aboard Air Force One that no auto tariffs would be imposed while negotiations with the European Union are ongoing.
He said more jobs are being created by the steel and aluminum tariffs than are being lost. "The EU's willingness to negotiate was a vindication of Trump's trade policy," he said.
At the same time, Ross said many companies are using steel and aluminum tariffs as an excuse for layoffs or why earnings are not as strong as they might be.
Addressing a joint press conference in Rose Garden at the White House on Wednesday, Trump and European Commission President Jean-Claude Juncker agreed to begin discussions on eliminating tariffs and subsidies that hamper trade across the Atlantic.
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That development was significant as the US and the EU together count for more than 50 per cent of the global GDP.
Ross credited steel and aluminum tariffs for the agreement Trump and the European Union reached.
"If we hadn't had steel and aluminum tariffs, we never would have gotten to the point we are now," he said. "This is a real vindication of the president's trade policy," he said.
"In terms of auto tariffs, we've been directed by the president to continue the investigation, get our material together but not actually implement anything pending the outcome of the negotiation," Ross said.
He said they would submit their report on auto tariffs in August. Imposing them "may not be necessary." In the meantime, "Steel and aluminum tariffs stay in place," he added.
"What we've agreed is not to impose automotive tariffs while the negotiations are under way. There's really no change to that situation," the Commerce Secretary said.
Responding to a question, Ross said it is very hard to judge how long negotiations will continue. "Normally trade discussions take months or a year. We're going to try to do them much faster," he said.
On the effect the trade policy is having on farmers and other American workers, he asserted that more jobs are being created than otherwise.
"Look at the actual statistics. A lot more jobs are being created," he said. A lot of companies were using trade policy as an "excuse" for laying people off or saying their earnings were worse, but that "in many cases that's not the main reason," he said.
Ross said the Trump administration's numbers "do not show that employment is being hurt." He also promised "very good numbers for the June period.
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