3 Shocking Things About the EU & US Trade Deal

3 Shocking Truths About the EU-US Trade Deal: Inflation, Energy, and Defense

The Hardware Issues and the Unseen Impact

[Music] Welcome to the Twist News. I'm Erica Gray. You're going to have to put up with my photo today because I'm having some hardware issues that should be resolved in a couple of days. So, I'll be back on camera. But today I'm going to talk about three shocking things about the EU US trade deal that you're not hearing reported about anywhere in the news.

Shocker #1: The Inflation Tax on Every Day Goods

And number one concerning this trade deal that was negotiated is that it's going to cause inflation. And it's going to cause inflation because essentially anytime you have a tariff it acts like a tax and this 15% is actually higher on various items. So we are going to see an increase in the price of these goods and these are goods that a lot of Americans like like various cheeses roport parmesan romano Fairness been a very very olive oil from Spain, Italy and Greece, pork products, sausages, hams, yogurt and dairy products from France, Germany and Greece. Wine, French wine, Spanish wine, German wine, UK nonsparkling wine, whiskey, Irish and Scotch whisies, pasta, Italian Durham wheat pasta. A lot of people eat pasta, jams and preserves, the French and German varieties, biscuits and baked goods, coffee and certain chocolates. So, we're going to see inflation in those items.

Supply and Demand: Why Your Heating Bills are Rising

In addition, you're going to have a higher cost with energy because of the LNG, which the European Union is now going to be buying from the United States, there is going to be an increase in energy costs. Well, you say, how is that? Because it's all about supply and demand. And when there's more demand, there's less supply. So guess who gets hurt? US citizens are going to get hurt. And you're going to see the energy prices increase. When Russia invaded Ukraine in 2022, the EU replaced Russian gas with US LG and US LG exports hit record highs. And in those highs, the natural gas prices in the US doubled compared to 2021 levels. And some regions saw heating bills rise as much as 30 to 50%. So, we're going to see an increase not only in food prices as well as various products such as tools and machinery, luxury soaps and perfumes, cuddlery and knives, crystal glassear, ceramics and table wear, cashmere and wool clothing, handbags and leather goods. So we're going to see an increase in those goods as well as in food products that are imported and in gas. So this is one shocker of the US EU deal that is not being talked about is all of the increases that will be coming.

Shocker #2: The Geopolitical Shift and the End of Russian Leverage

Number two, the US EU deal is going to create a geopolitical shift. Now, how is it going to create a geopolitical shift? Because the United States is going to become the main energy supplier for the European Union, and it's going to basically end Russian exports to the EU. and it's going to make the European Union become more dependent on the US. So we're going to look at two aspects of this. Let's look at first Russia. This is going to definitely alter USRussian relations and it's going to make them worse because Russia was supplying about 40% of the EU's gas and it was a major revenue source and leverage tool. And with the US LG replacing that gas, it's going to cut deep into Russia's energy income. LG terminals in Europe are now being built specifically for US gas, not Russian pipelines. So this is the end of Russia's energy leverage over Europe. It officially marks the end.

The US as the Energy Superpower: Russia’s Retaliation

The US supplying LNG undermines that strategy permanently and Europe now has a nonRussian energy alternative and the US gets the credit and profits. So what does this mean? It means that Russia is going to interpret US LG expansion as a strategic encroachment economically and militarily. and it's going to see the LG terminals not as energy projects but as symbols of US dominance in Europe. So what this is going to do is feed into Russia's anti-NATO, anti-EU and anti-US sentiment. It's going to justify in Russia's eyes more aggressive postures, cyber attacks, influence ops, and military moves. And also the potential for energy retaliation elsewhere. Russia may increase energy ties with China, India, and the global south to bypass US EU power.

Shocker #3: Building the EU Defense Project with American Tools

Number three, building of EU defense within the US EU trade pack. The US got the European Union to agree to buy US defense and deal with US companies. Now, this was a major achievement because the EU was miffed at the United States. miffed at the US. It was going to not include the United States companies, none of the defense companies in the building of its defense. So, this is a huge win for Donald Trump. And now I'm going to give you the butt. Essentially by US defense companies going to be used now by the European Union. It's definitely going to bolster the US market in defense because of the 5% spending now that the member nations of NATO, which are EU nations, will be spending, but even more so, the EU is also embarking on its own defense and it is building its own defense union. and already is doing increases so that they can establish a European defense industry, their own industry.

The "Marshall Plan" Trap: Building a Future Competitor

So they have a white paper already out that's going to fund joint EU defense projects and also they're achieving targets. They're going to achieve targets by 2030 which includes joint weapons systems and they're going to establish a European defense industry program as well as increase each of their budgets. And you say, "Well, what's bad about that, Erica? What is so bad about that?" Well, essentially we're going to be building the EU army through our companies providing all great products. Yes, we're going to earn from that. We're going to earn from it in the same way that the Marshall Plan earned. The Marshall plan offered 13 billion in aid and over 70% of Marshall plan funds flowed back to American companies and it stimulated US manufacturing, agriculture and shipping industries.

Recap: The Hidden Geopolitical Standoff

And what do we have now? But we have an empire that is competing with the United States and started to write rules that we would have to adopt. So now let's look at the defense the area of defense by bolstering the defense through the talents and products of our companies. Yes, it is going to boost our income here in the United States. It's going to boost our economy. But essentially, we're building the EU defense project, and this army may one day be against us, just as the empire already is making moves that are for their interests. When I said the geopolitical shifts, so we're kind of back at number two again. Because of that, we are also probably going to be able to negotiate with the EU better concerning its digital markets act and digital services which we are tech companies are being taxed. And so now we will have some political bargaining because of this geopolitical shift that's going to come as the European Union is dependent on us for the LNG.

Conclusion: The Future of the Transatlantic Bargain

So I'm going to recap the three areas. One, inflation from in products, foods, also energy prices. Two, geopolitical shifts, one with Russia, two with a positive shift with the European Union where we will be able to negotiate more because of their the amount of LG that they'll be buying. But also that could also end up being a not so good thing either because it will cement us to possibly go along with things that we may not agree with because of the economic prosperity that's coming from that. So that's a hidden geopolitical both with Russia and within the European Union. And then finally, the fact of our having this part of the treaty or this part of the trade pack with defense and the European Union buying and including many of our defense products. Essentially, we will be helping to build EU defense that could be used against us. Well, I hope you found this informative. I'd like to know your comments and your thoughts. And definitely if you don't subscribe to the Twist News, hit that subscribe button Good day.