President Trump is heading into this weekend’s G-7 summit swinging.
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On Friday, he slammed Federal Reserve Chair Jerome Powell with a dig at China.
“As usual, the Fed did NOTHING!” Trump tweeted, misspelling Powell’s last name after the Fed head gave a speech in Jackson Hole, Wyoming. “My only question is, who is our bigger enemy, Jay Powel or Chairman Xi?”
Trump's hard line against China was elevated after the country slapped tariffs on $75 billion of U.S. goods. The trade war and the Fed top a list of contentious topics that will likely be discussed at the summit among the world's power players. FOX Business takes a look at Trump's calendar of scheduled meetings in Biarritz, France,.
British Prime Minister Boris Johnson
Britain’s new Prime Minister Boris Johnson, who has been referred to as Britain’s Donald Trump, is in the middle of negotiating a deal that will allow his country to exit the European Union (Brexit), while also maintaining the island’s crucial trade relationships with the continent. Negotiations with the EU have, on the whole, not gone well as his most recent proposal was shot down by European Council President Donald Tusk. In the absence of a deal, the UK will exit the EU on World Trade Organization terms and be forced to forge a slew of new trade deals on its own. It is likely that during the G-7, Johnson will seek to lay the groundwork for a trade agreement with the United States.
French President Emmanuel Macron
Among the most important topics of discussion for President Macron at this G-7 is climate change, as FOX Business reported in June. While this itself may be a prickly point between Macron and President Trump — who pulled the US out of the 2016 Paris Agreement on preventing climate change — it may be overshadowed by the recent French decision to tax digital service revenue earned in France at a rate of 3 percent. This tax will affect US tech giants such as Google, Facebook, and Amazon. In light of this, Trump has threatened France with a tax on French wine. Of note, France's economy is slowing, recently posting growth of just 0.2 percent.
German Chancellor Angela Merkel
With Germany at risk of entering recession and German bonds yielding negative interest rates for the first time in history, the country may be in a rather precarious position. Germany maintains a trade surplus in relation to the United States, making it a potential target in the Trump administration’s pursuit of balanced trade. The Associated Press reports that exports amount to 47 percent of the German economy, meaning that a trade war could hit the country's economy particularly hard.
Japanese Prime Minister Shinzo Abe
Trump and Prime Minister Abe may be golf buddies, but at hand is a proposed U.S.-Japan trade agreement this weekend. The two sides met in Washington this week but left empty-handed. After four-hour talks with U.S. Trade Representative Robert Ligthizer on Thursday, Japanese Economy Minister Toshimitsu Motegi told reporters that the two countries were “getting closer to reach a conclusion" Reuters reported.
Indian Prime Minister Narendra Modi
Despite not being a member of the G-7, India’s Narenda Modi will be coming to the summit to address humanitarian concerns in the Kashmir region. According to The Times of India,Trump will likely ask the Indian prime minister about his plans to reduce tensions in Kashmir and protect human rights in the region but maintains his position that the dispute should be resolved bilaterally between India and Pakistan.
Canadian Prime Minister Justin Trudeau
The United States-Canada-Mexico Agreement (USMCA) has been the prevailing trade topic between the US and Canada. While the trade deal has been concluded between the three nations, the agreement has yet to receive approval by the U.S. Congress. Canada is one of the United States’ largest trading partners, and the relationship may grow in importance if trade between the U.S. and China continue to deteriorate.