Trade ties lessen risk of wars: Portuguese ex-PM
abu dhabi — The more trade you have with nations, the lesser risks of engaging in wars, according to the Portuguese former deputy prime minister.
Despite spending a month in office, the world still has no idea about how Donald Trump’s presidency will be, said Paulo Portas, who is also former minister of foreign affairs.
Portas made the comments on Sunday during his lecture on ‘World Trade in the Trump Era’ at the Emirates Diplomatic Academy in Abu Dhabi.
Portas said: “Ties with the US remains decisive with the GCC and other countries. But one month in office now, we still don’t know how the presidency of Donald Trump will be.”
“But we already know his aggressive rhetoric on some few
Relations with the US remains decisive with the GCC countries. We still don’t know how Donald Trump presidency will be.” Paulo Portas, Former PM, Portugal
policies. President Trump will not be different from candidate Trump. He will just remain loyal to his group.”
Portas said Trump’s aggressive rhetoric implies an offensive strategy which will lead to tensions.
“It will be a tough time for diplomats because they are there to reduce tensions and not to increase tensions,” he said.
Portas noted that during elections, Trump campaigned for protecting domestic producers by cutting imports from especially China and Mexico and had planned to impose huge tariffs on imports from Mexico and to tear up trade deals unless they are fundamentally renegotiated.
“I believe he will have to change from disfavourable to favourable policies so as to maintain the global trade, otherwise it would affect all nations including America its self,” said Portas.
“I expect President Trump to make more trade renegotiation than breaking trade agreements.”
He noted that imposing unilateral measures on borders will mean damaging American exports and damaging American consumers.
Portas, who is currently the chairman of the International Strategic Council of Mota-Engil, a large Portuguese group of companies specialised in civil construction, explained that Mexico exports 80 per cent of its manufactured products to the US and Canada, but 50 per cent of the raw-materials for these products are imported from the US indicating that the two countries need each other.
“America, Europe and Asia also need to import and export from each other and also share the intelligence in the fight against terrorism,” he said.
“Trade plays a very important role in the diplomatic issue and if it becomes political, it means nations have to device for new measures.”