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RESEARCH PRODUCT

Transatlantic Trade Wars: The United States and the European Union in Endless Confrontation

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Considering two highly interlinked economies of such tremendous size as the United States (US) respectively the European Union (EU), it does not come as a surprise that these circumstances inevitably provide fertile soil for transatlantic trade disputes to thrive. In spite of their decisive contribution to the postwar trade liberalization process, the two giants never quit being protectionist in certain particular domains considered sensitive for one part or the other. Sensitive domains are those in which nations fear competition from abroad, in apprehension of being disruptive to their own economy. Usually sectors that are incapable of withstanding foreign competition, most often agricultural products and processed food, enjoy protection from their own governments through production subsidies, tariffs, quotas, minimum import prices, variable import levies etc.