Employers' Associations Appreciate Trade Deal, But Competitiveness Is Problem

Bratislava, 28 July (TASR) - Employers' association praise the EU-US trade deal, but according to them, the competitiveness of European companies is a problem as the decline in industrial competitiveness is the biggest challenge the EU is facing at present and one to which it must respond urgently. "For Slovakia, which is one of the most open and export-oriented economies in the EU, this agreement is of crucial importance. Although the most serious threat of 30-percent tariffs has been averted, the agreed 15 percent is still a significant impact on costs and competitiveness for export-oriented companies. We expected a more ambitious agreement with lower tariffs that would be more reflective of addressing key issues as well as the need for predictability and stability in the business environment," said Employers Associations and Unions (AZZZ) head Rastislav Machunka. Republic Union of Employers (RUZ) secretary general Martin Hostak stated that RUZ welcomes the conclusion of the agreement between the EU and the USA as an important step towards stabilising transatlantic relations and averting a trade conflict that would harm companies and employees on both sides of the Atlantic. "As a member of BusinessEurope, we stress that open and rule-governed trade is the foundation of European competitiveness. The key now is to ensure that the agreement strikes a balance between defending sensitive sectors and maintaining long-term strategic cooperation with the US," noted Hostak. European Commission President Ursula von der Leyen and US President Donald Trump reached a deal to resolve a trade dispute over tariff hikes in Turnberry, Scotland, on Sunday (27 July) evening. According to Trump, the tariff rate on most EU imports to the US, including the automotive industry, will be 15 percent. The US president said that the EU agreed to buy 750 billion USD worth of energy from the US and wants to invest an additional 600 billion USD (€512 billion) in the USA. He specified that tariffs on steel and aluminium imports would remain at the current level of 50 percent. am