Die attacks of the new US government on the trade policy of other countries could trigger a new global currency war. Trump is leading the world into a “vicious circle of currency war and protectionism”, said the renowned British economic historian Harold James of the “world on Sunday”. In the end, a Devaluation would race and protectionism, as least in the 30s.
James teaches at the American Princeton University and is regarded worldwide as one of the best connoisseurs of the transatlantic economic relations. For the first Time since the end of the Second world war, the government in Washington aims to weaken America’s trading partners in Europe, said James. “The White house is trying to attack the Euro, or to suggest that the monetary Union breaks up.”
For 80 years, did not suggest a U.S. President in such a isolationist sounds like Donald Trump. “The rhetoric may be part of the negotiation strategy. But you will hardly bring positive results."
James believes that trump’s strategy goes wrong. Because the more capital because of the uncertainty of the EU in the dollars flee, the more the rate of the US currency increases. The harder going it is, therefore, for American companies to remain competitive.
German companies are alerts
Trump will respond by implementing more tariffs and restrictions on foreign companies wanting to do business in the USA.
This danger, many top managers in Germany see, in the meantime. A majority of German business leaders holds a currency war to be the greatest threat posed by Trump. More than a third of the members of the management Board is alarmed that a survey of the “world on Sunday”.