No preferential treatment: Trump taxes even hurt his friends

Hungarian Prime Minister Viktor Orban had promised “blessed time” with the return to the American presidency of his “dear friend” Donald Trump. Nevertheless, but for the moment, Zoltan Laszlo, a trade unionist in the automotive sector, noted sudden orders for orders and a sawtooth planning.

Started from 2.5% before the Trump era at some 25%. However, finally at 15% from Friday, the “American customs slalom” sowed chaos, according to this representative of the workers of the Mexican manufacturer of auto parts Nemak, who settled in Hungary alongside manufacturers.

Volkswagen, Suzuki, Jaguar Land Rover … Nevertheless, On the lookout for low wage costs. For example, all the big names are located there as well as in neighboring Slovakia, so that the region has become a hub for export, in particular to the United States.

And the unpredictable American president may have no preferential treatment: trump taxes new received twice last year, in his residence in Mar-A-Lago, Mr. In addition, Orban, his main European support, he did not benefit from any right-handed.

Distress call

No preferential treatment either for another Trump ally in Europe. Moreover, Slovak Prime Minister Robert Fico, whose country is the largest producer per capita in the world.

Pessimistic. analyst Matej Hornak provides for a fall in exports encrypting in “hundreds of millions of euros” and the loss of “more than 10,000 jobs” in the sector in Slovakia.

This did not prevent the head of the Slovak government from greeting a lower surcharge than elsewhere. Viktor Orban attacked him as usual to the president of the European Commission Ursula von der Leyen. whose tenant of the White House would have “made a bite”, he quipped.

As of April. the mayor of Györ, who owes his prosperity to his factories in the automotive sector, had launched no preferential treatment: trump taxes new a distress call. He had asked the government to intervene with Washington, but nothing did it.

For this city in the northwest of Hungary, the increase in customs duties is a disaster.

The Volkswagen site alone has 12,000 employees. Its Audi brand has opened its main production of engines there. Not to mention the ten subcontractors, including Nemak.

Officially, the Hungarian government says it further assess the impact of this trade war. He promises bilateral agreements to alleviate the negative effects of “America First”.

Rider only

It will not be so easy, warns the International Relations Expert based in Brussels Botond Feledy. “When it comes to Europe. Trump now favors larger figures and small countries, such as Hungary or Slovakia, should look for alliances to negotiate.”

However. they were isolated from their European partners by playing it a horseman alone in “aggressive way”, which makes everything difficult now.

The stakes no preferential treatment: trump taxes new are high for Viktor Orban. in power for 15 years, but threatened by his conservative competitor Peter Magyar, as the elections planned next spring.

“The voters. unhappy with expensive life, await him at the turn,” according to economist Zoltan Pogatsa, while “for many years now, Hungary has stagnated”.

The “arrow start” announced for this year has not materialized and the growth target was lowered, by 3.4% initially to 1%, in particular due to the effect of customs duties.

Far from the promises brandished by the Hungarian leader. “Trump’s second term has so far had only a negative impact on the Hungarian economy,” said the analyst.

The trade unionists even threatened to strike, reports Zoltan Laszlo.

To avoid chaining impossible planning as in recent months. both for health and for family life “, Nemak employees have obtained commitments from management.

At least to the new Trumpian flip-flop.