Germans Outraged That Trump Would Not Go To War For Montenegro

The Germans certainly would.

Trump

Ha, ha, ha, ha, ha, ha, ha, ha, ha, ha, ha, ha, ha, ha.

These people kill me sometimes. Figuratively speaking.

Montenegro, a former Yugoslav republic with a population of about 630,000, joined NATO last year, becoming is 29th member. Its military only numbers about 2,000 personnel.

The only time Article 5 was ever invoked was by America after the September 11, 2001 terror attacks conducted by al-Qaeda.

Für ein kleines Land wie Montenegro in den Krieg ziehen? Donald Trump hat in einem Interview Zweifel an der Bündnistreue der USA innerhalb der Nato gesät. Der US-Präsident machte eine vielsagende Andeutung.

One Million Dollars!

No, wait a second. I mean… Five billion dollars!

One million dollars

The European Union hit Alphabet Inc.’s Google with a record antitrust fine of €4.34 billion ($5.06 billion) and ordered changes to its business that could loosen the company’s grip on its biggest growth engine: mobile phones.

In the EU’s sharpest rebuke yet to the power of a handful of tech giants, the bloc’s antitrust regulator found Wednesday that Google had abused the dominance of its Android operating system, which runs more than 80% of the world’s smartphones, to promote and entrench its own mobile apps and services, particularly the company’s search engine…

As part of the decision, the EU ordered Google to cease requirements that push phone makers to pre-install Google’s web browser Chrome, make Google the default search engine on their phones, and offer payments for exclusively pre-installing Search.

“Today’s decision rejects the business model that supports Android, which has created more choice for everyone, not less.”

German Of The Day: Zusage

That means pledge – like the one Germany just made (increase in defense spending to 2% by 2024 instead of 2028 or 2030).

Zusage

President Donald Trump appeared to declare victory on Thursday in his battle with America’s closest allies to get them to contribute more money to the NATO alliance. Mr. Trump acknowledged that he had taken a tough stance with his European counterparts, demanding they contribute more of their national budgets to defense and saying after Thursday’s meetings, “they upped their commitments and I am very happy…”  

Under fire for his warm embrace of Russia’s Vladimir Putin, Mr. Trump on Wednesday turned a harsh spotlight on Germany’s own ties to Russia, alleging that a natural gas pipeline venture with Moscow has left Angela Merkel’s government “totally controlled” and “captive” to Russia.

Auch Deutschland habe große Zusagen gemacht – das Zwei-Prozent-Ziel solle nun wesentlich früher erreicht werden als ursprünglich geplant – laut Trump nicht erst 2028 oder 2030, sondern schon 2024.

The Berlin Airlift

No, not this one. This one.

Iran

Iranian Plan to ‘Airlift $350 Million’ From Germany to Tehran Sparks U.S. Anger

The U.S. ambassador to Germany has called on Berlin to block an Iranian plan to withdraw 300 million euros ($350 million) of cash from bank accounts in Germany to offset the effect of new U.S. financial sanctions imposed after Washington withdrew from a 2015 nuclear deal.

This comes after Washington recently announced new sanctions on Iran and ordered all countries to stop buying Iranian oil by November and foreign firms to stop doing business there or face U.S. blacklists.

Der Iran will 300 Millionen Euro in Deutschland loseisen und per Flieger heimholen. Die USA und Israel sind nicht erfreut.

Robust Export Growth?

German exports rebounded in May, providing more evidence of a strengthening of the economy in the second quarter.

Export

Yeah, I guess that’s true. If you forget the exports last month to one particular country. Those have dropped 10% for some inexplicable reason. But I’m sure that will pick up again real soon, right?

Despite ongoing trade tensions, German exports did what they normally do: grow. In May exports increased by 1.8% MoM, from -0.3% in April. At the same time, imports increased by 0.7% MoM, from 2.6% MoM in April. As a result, the trade surplus narrowed somewhat, from EUR20.1bn to EUR19.7bn.

“Die Verunsicherung durch die Einführung von Importzöllen seitens der USA und die Gegenmaßnahmen der EU und Chinas machen sich direkt bei den Unternehmen bemerkbar.”

When Had We Left The Jungle?

I wasn’t aware that we had.

Jungle

WTO Faces Existential Threat in Times of Trump -U.S. President Donald Trump has set his sights squarely on the World Trade Organization in Geneva. Even its critics are worried that without the organization, the world of trade would revert to the law of the jungle.

The U.S. and other industrialized nations made several concessions to developing economies when the WTO was founded in 1995 and significantly reduced their tariffs. In return, they were able to push through stronger protections for intellectual property. They hoped that the strategy would help slow China’s rise.

But from the U.S. perspective, the system has not been beneficial. And once China joined the WTO in 2001, that dissatisfaction only grew, partly because the Chinese proved adept at taking advantage of the rules. Even today, there is significant dissent within the WTO because the economic superpower China is still classified as a “developing nation” by the organization, which gives it certain privileges. On the other hand, China is fighting for recognition as a market economy, to which both the U.S. and the European Union are opposed because it would mean they could no longer defend themselves against state-subsidized Chinese exports with anti-dumping duties.

On top of all that, the WTO is facing a more fundamental problem: its size and its sluggishness. Negotiating rounds focused on removing tariffs have become increasingly complex. And because everything is up for negotiation at the same time, every member state can paralyze the process by simply exercising its veto. The Doha Round, launched in 2001, is a perfect example: It never achieved any results and has become symbolic of the WTO’s failure.

“The problems are coming from the behavior of a single country that would like to return to the jungle.”

German Of The Day: Nicht Mehr Tragbar

That means no longer tenable or sustainable.

NATO

As in “The United States continues to devote more resources to the defense of Europe when the Continent’s economy, including Germany’s, are doing well and security challenges abound. This is no longer sustainable for us.”

Donald Trump has reportedly sent sharply worded letters to several Nato member countries, urging them to spend more on their self-defence, in an escalation of the US president’s long-standing feud with the military alliance…

The Nato allies agreed in 2014 to spend more on their own national defence, aiming to eventually contribute two per cent of their GDP to the effort. Many members countries say they are still working towards that goal, and are frustrated by Mr Trump’s threats.

“Die Vereinigten Staaten geben nach wie vor mehr Mittel für die Verteidigung Europas aus, während es der Wirtschaft des Kontinents, einschließlich Deutschlands, gutgeht und die Sicherheitsherausforderungen vielfältig sind. Das ist für uns nicht mehr tragbar.”

PS: Happy 4th of July!

Seems Like A Fine Idea To Me

As speculated upon earlier, the Pentagon is considering plans to remove American troops from Germany, possibly placing them in Poland instead.

Troops

Hey, the world changes. That old Cold War line doesn’t run through Germany anymore, it’s moved to the East. And Germany, although not willing to pay it’s fair share for it’s own defense, doesn’t want American troops here in Germany anyway (Germans are pacifists) so it’s a win-win situation if you ask me. I know, you didn’t ask me but I told you anyway.

Poland is willing to spend $1.5 billion to $2 billion to entice the U.S. to build a permanent military base there, according to a Defense Ministry proposal. The plan offers a strong incentive for the U.S. to consider moving at least some of its forces from Germany, especially since the current deployment makes little military sense.

Das US-Verteidigungsministerium prüft laut einem Bericht der „Washington Post“ einen Abzug der in Deutschland stationierten US-Soldaten. Zu den erwogenen Optionen gehöre eine Rückkehr eines Großteils der rund 35.000 in Deutschland stationierten Soldaten in die USA oder die Verlegung des gesamten oder eines Teils des Kontingents nach Polen, berichtete die Zeitung am Freitag.

 

Deutsche Baaaank

It looks like it’s going to be a long fall.

Deutsche Bank

Sorry, I mean it already has been a long fall. But at least this fall is free.

It would be an understatement to say Deutsche Bank AG is going through a difficult period. It chalked up its third straight annual loss in 2017. The new chief executive officer, Christian Sewing, has unveiled the bank’s fourth turnaround plan in as many years, yet its shares have fallen to a record low…

How much time does the bank have? Not a lot.

Der Aktienkurs der Deutschen Bank ist auf ein neues Allzeittief gefallen. Am Mittwochmorgen notierte das Papier bei 8,76 Euro – ein Trauerspiel mit Vorgeschichte.

German Of The Day: Klassenbester

That means top of the class.

Nitrates

And that’s what Germany is when it comes to all things green and environmental and renewable and organic and… You get the picture, right? Well, that’s what I thought up until recently, too. Turns out they’re not very good at restricting the use of nitrates, though.

Germany ‘to be fined BILLIONS‘ for breaking EU environmental laws after ECJ ruling – The ECJ ruled that Germany breached a Brussels directive by failing to take enough action to tackle water pollution. The verdict by the EU’s highest court, based in Luxembourg, came after growing concerns about the levels of nitrates in German water. Nitrates are widely used as fertilisers, but the chemical can harm the environment and cause health risks through water pollution.

Der Europäische Gerichtshof in Luxemburg hat Deutschland wegen Verletzung von EU-Recht verurteilt, weil die Bundesregierung zu wenig gegen Nitrate im Grundwasser unternommen hat. Geklagt hatte die EU-Kommission.