The European Union says it would tell a meeting of finance leaders of the Group of 20 scheduled to hold in Washington on April 11, 2019 that they must tackle the root causes of global trade tensions that threaten economic growth.
This is according to an EU document which showed that Brexit would also be discussed at G20 next week
“Current trade tensions put the ongoing expansion at risk and are therefore a source of concern,” a joint position paper agreed by EU finance ministers on Saturday said.
The United States and China are engaged in intense negotiations to end a months-long trade war that has rattled global markets.
Meanwhils, hopes of a resolution soared after both sides expressed optimism following talks in Beijing, China last week.
The International Monetary Fund said in its April World Economic Outlook this week that an escalation of the U.S.-China trade war could reduce U.S. growth by up to 0.6 percent and China’s by up to 1.5 percent.
“The international community has to tackle the root causes of the ongoing trade tensions by ensuring a level playing field for open and free trade in goods and services, investment and intellectual property rights,” the joint EU statement said.
The United States is also in talks with the European Union on a trade deal after imposing tariffs on European steel and aluminum last year and threatening to impose tariffs on European cars.
“We reaffirm our commitment to keep the global economy open as well as rules-based, to support an inclusive multilateral trading system with the World Trade Organization (WTO) at its center and to keep international economic cooperation on track,” the EU said.
Finance ministers and central bank governors of the Group of 20 (G20) major economies are to meet in Washington on April 11-12, 2019 to discuss the main challenges to the world economy.