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.

War Is Over! (f You Want It)

What? That was it? No more trade war hysteria? Just when it was starting to get interesting? What Luschen (duds).

EU

The Wall Street Journal reported that Richard Grenell, the U.S. ambassador to Germany, has been in talks recently with the chief executives of German car makers BMW, Volkswagen and Daimler, where they pitched the idea of ending car tariffs between the U.S. and the EU.

During these talks, the executives said they would be in favor of scrapping these levies as part of a broader deal encompassing industrial goods, the Journal said.

“Germany has the right approach to resolving this trade disagreement among friends.”

German Of The Day: Geschröpft

That means fleeced. Or clobbered, if you prefer.

Trump

As in… We protect Europe (which is good) at great financial loss, and then get unfairly clobbered on trade.

„Deutschland zahlt ein Prozent des Bruttoinlandsproduktes (langsam) in Richtung Nato, während wir vier Prozent von einer weit größeren Bruttoinlandsprodukt zahlen. Glaubt irgendjemand, dass das Sinn macht?“

I Don’t Speak Your Body Language

Or, better yet, German of the day: Über den Tisch ziehen.

G7

That means “pull over the table,” as in to get pulled over the barrel or bamboozled.

Body Language 2

Recall back in 2015, almost three years ago to the day, when Merkel, with outstretched arms, stood before President Obama, seated on a bench at that year’s Group of 7 summit.

Sein Verhältnis zur deutschen Bundeskanzlerin beschrieb Donald Trump mit dem Vokabular des Preisrichters bei einem Schönheitswettbewerb: Auf einer Punkteskala von 1 bis 10 gebe er der Beziehung zu “Angela und Emmanuel und Justin” die Bestnote, sagte der US-Präsident am Samstag vor seiner Abreise vom G7-Gipfel in La Malbaie mit Blick auf Merkel und ihre französischen und kanadischen Amtskollegen Macron und Trudeau.

Germany Preparing Itself To Lose The Next “Illegal” War

A Vicious Cycle – Berlin Worried about Losing Trump’s Trade War.

War

The U.S. has followed through with its threat to impose punitive tariffs on European steel and aluminum and the signs are pointing to a global trade war. The German government is doing what it can to prevent harm to its automobile industry.

… The German automotive industry would also be hard hit by a possible trade war with the U.S., where the most cars are sold in the world after China. German carmakers export around a half-million vehicles to the U.S. each year — particularly the kinds of expensive sedans that have been a thorn in Trump’s side for decades. If punitive tariffs are imposed, carmakers would likely have no choice but to react with higher prices and thus risk a decline in sales. VW subsidiary Porsche is especially at risk. Although the company sells almost a quarter of its vehicles in the country, it does not operate any factories of its own in the U.S.

“Germany stands to lose most.”

Times Change

Not. Not when it comes to government creating problems by having good intentions and then creating even greater problems by trying to solve the self-inflicted problems it just created. On and on this process goes. Politician generation to generation. Just like the families who now live around Berlin’s Sonnenallee in Neukölln (Little Beirut) will experience, being welfare recipients for many generations to come – instead of working  for a living like the Arab refugees who came before them, albeit “in an orderly manner.”

Neukölln

Of the nearly 695,000 migrants who applied for asylum in Germany in 2016, more than 62 percent received refugee status or humanitarian protection, which enabled them to work and receive welfare benefits, according to data from the Federal Office for Migration and Refugees (the same scandal-ridden authority we’ve been reading about these days). Among applicants from Syria, the figure was higher, at around 97 percent.

In contrast, 10 years earlier less than seven percent of asylum applicants in Germany received refugee status. A 2016 study by Bielefeld University found more than half of established migrants in Germany believe the newcomers should settle for less.

“When I saw what they received, I wished I was a refugee.”