US, EU agree to resolve US tariffs on steel, aluminum imports

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President Donald Trump slammed critics from within his own party for "weakness" after a number of Republicans vented about a new $12 billion package to aid farmers who are suffering from new foreign tariffs in an escalating trade war.

On Wednesday, the soft-spoken Juncker made conciliatory comments, saying that the USA and the European Union are "close partners, allies not enemies" and noting that the US and European Union represent half of the world's trade. He warned that those who pursue "economic hegemony" will "only end up hurting themselves".

European Commission president Jean-Claude Juncker appears to have made several concessions to US President Donald Trump in an effort to avoid a trade war, including buying more US soybeans and LNG.

Trading partners like China, Canada and the European Union are imposing stiff tariffs on Midwest farm products to retaliate for Trump tariffs on their countries.

Farm products have borne the brunt of tariffs imposed by trading partners angered by USA trade actions, and Agriculture Secretary Sonny Perdue said the aid program will provide relief.

Recently, Trump has threatened a 25% tariff on European autos, a warning that seems to have been staved off. All three are embroiled in conflicts with the U.S. "Either a country which has treated the United States unfairly on Trade negotiates a fair deal, or it gets hit with Tariffs", Trump wrote on Tuesday.

The Trump administration has imposed tariffs on $34 billion in Chinese goods in a dispute over Beijing's high-tech industrial policies.

Chinese diplomats and many diplomatic observers in the US also expressed frustration about the suspension of top-level communications, which have played an important role to steady US-China relations.

Trump seems unmoved by his advisors.

The moves have been unsettling to lawmakers with districts dependent upon manufacturers and farmers affected by the retaliatory tariffs. "So, we're starting the negotiation right now but we know very much where it's going". John Kennedy, R-La. "You've got to treat everybody the same".

And Americans for Prosperity, a conservative pro-growth group affiliated with the Koch network, said farmers want good trade policy, not a bailout. Some of Trump's fellow Republicans are also already balking at the idea of government-funded bailout for a trade war they oppose.

"The end result will be worth it!" he added.

Rules for the programs have not been fully developed, and an exact date for rollout has not been determined, though Ibach said officials are targeting Labor Day. After $34 billion in tariffs against China went into effect earlier this month, China responded with its own equivalent tariffs soon after, targeting USA agricultural products including soy, corn, wheat, pork, poultry and more.

The government's purchases of excess crops would not require congressional approval and would come through the Commodity Credit Corporation, a wing of the Agriculture Department. As for how farmers can apply for assistance, those details are still being worked out.

"Experience has shown that trade wars and all this tit-for-tat is devastating to the [agriculture] economy and drives prices down", said Richard Schlosser, who grows soybeans, corn and wheat in Edgeley, in southwest North Dakota.

Pennsylvania farmers greeted the Trump Administration's announcement Tuesday of $12 billion in emergency aid to agriculture with mixed emotions.

That figure apparently refers to the U.S. trade deficit in goods alone last year, which hit $810 billion last year, while the total deficit including services was $566 billion.