(Hans von der Burchard – Politico)
Brussels has rejected criticism of the EU’s €134 billion trade surplus with the U.S. by stressing Europe is a “very open market” that has only imported less than the U.S. in recent years because its recovery from the financial crisis has been slower.
“The EU combines a surplus with the U.S. with a generally very open market in goods, services, and procurement,” the EU ambassador to Washington David O’Sullivan wrote Wednesday in a letter to U.S. Commerce Secretary Wilbur Ross.
“It is important to place trade deficits in the longer context of business cycles,” the letter said.
“One of the main drivers of the increased EU-U.S. imbalance in goods trade over the last years is that the U.S. economy has rebounded relatively quickly and robustly from the ‘great recession’ of 2009, while the EU is experiencing a more protracted period of necessary fiscal adjustment and subdued growth,” it added. Click here to read more.