Shame shame shame. A simple, efficient way to significantly increase the block’s revenues while having zero negative effect on EU citizens. They should play the Trump card and announce 100% retaliatory taxes on US digital services in case the negotiations don’t end their way.
Real talk: why does everyone care so much about trade with the US?
Can the EU, plus AUS / CAN / NZ / UK, plus non-China South-East Asia, really not replace the US and it’s great output of … predatory financial institutions?
The US holds 30.51% of the world’s economy and they produce highly sought after goods.
don’t forget tight control of the world’s currency. countries need dollars to trade.
Its only 9% of global trade though. https://www.wita.org/ustrade/us-trade-trends/
Significant, but the rest of the world can transition away from that without too much difficulty.
Within an infinitely long timeline, yes. Transitions take time and few are willing to take the immediate financial (and thus political hit) to do so.
One example is pharmaceutical companies, which represent a significant portion of goods produced in Europe. There is no market similar to the US where prices and consumption are both significantly high, so I would argue they would simply take a significant hit.
Economics is rarely done in long term thought because political cycles rely on economic performance. It’s stupid, but here we are…
What highly sought after goods?
I don’t doubt that their predatory financial institutions claim to own that much of the economy, but what do they actually produce?
As far as I can tell all they produce is too big companies that expand globally and send profits back home.
GPUs, Payment Processors and Weapons are the first ones that come to mind.
We should build alternatives.
Don’t forget oil and gas. Europe has pretty much been living of US gas the last 3 years. lazy link
Welp. I hope Canada’s PM is happy now after canceling Canada’s digital tax because he wanted to wait to see what the EU would do.
