Merkel to Warn Trump That US Tax Changes May Spark Retaliation

Mar 14, 2017, 00:28
Merkel to Warn Trump That US Tax Changes May Spark Retaliation

Angela Merkel will try to head off any attempt by President Trump to penalise German imports when she travels to Washington tomorrow.

Responses from Europe's largest economy could include incrementally higher duties on imports from America and allowing German companies to make their USA import tax deductible, thus compensating their competitive disadvantage, according to the report. Tomorrow they meet in the White House. Trump often claimed that his Democratic presidential rival, Hillary Clinton, was running to be "America's Angela Merkel" and argued that Germany was in the midst of crisis. He once said what she did in Germany with refugees was "insane". Merkel has been a leading critic of Trump's effort to ban travelers temporarily from seven Muslim-majority nations, a list that has since been pared back to six.

Trump will also be looking to Merkel's experience on the world stage, including in dealing with Russian President Vladimir Putin. Formerly worked with the German Council on Foreign Relations. "She is also convinced that direct contact with Trump is vital..." "Political and business leaders, unnerved by his pronouncements, have also lashed out".

Merkel and Trump have already clashed on immigration issues, with Merkel expressing her "regrets" over the U.S. administration's initial refugee ban barring citizens of seven predominantly Muslim countries from entering the U.S. Trump, for his part, called Merkel's open-door policy on refugees a "catastrophic mistake" and said he believed the policy would cause more countries to leave the European Union after Brexit. "The characterization is fanciful".

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