Presidential candidate Donald Trump’s criticism of free trade agreements could affect TTIP
Negotiations between the EU and the US over the Transatlantic Trade and Investment Partnership (TTIP) could be cast aside if Donald Trump becomes president.
TTIP would eliminate most tariffs between the EU and US and create the world’s largest free trade area. While the amount of UK agricultural trade with the US is currently small, any future agreements would be affected by such a decision.
The billionaire businessman pledged to ‘never sign any trade agreement which hurts our workers or which diminishes our freedom and independence’ in his speech following his appointment as the Republican candidate, which could affect free trade agreements around the world.
However, opponents of Mr Trump highlighted his use of overseas manufacturing in his own businesses.
While other European leaders have been sceptical of the controversial TTIP deal, the UK Government has been supportive, but any negotiations will not include an independent UK.
The UK’s vote to leave the EU could also affect negotiations and will change the UK’s trading position with the US. Mr Trump claimed the Brexit vote showed people around the world were rejecting globalisation.
As the US’s current single biggest European import market, the UK’s exit may affect the US stance on negotiations.
UK future trade will depend on a deal negotiated directly with the US. This could mean the UK may be in a better position to negotiate if the TTIP deal was abandoned by the next president.
He said he would enforce trade violations using taxes and tariffs ’against any country which cheats’.
Mr Trump’s comments centred on China and he threatened to impose 45 per cent tariffs if the country does not stop ’cheating’ by ’manipulating its currency’.
He also said he would reject the proposed Trans-Pacific Partnership and renegotiate or withdraw from the North American Free Trade Agreement.
Mr Trump pointed to the Brexit vote as a sign people around the world were rejecting globalism.
He said: "Our friends in Britain recently voted to take back control of their economy, politics and borders."
Mr Trump said he would ’make individual deals with individual countries’ – a decision which could have a big impact on global agriculture, as the US imported $128 billion (£98.4bn) in food last year.