Diplomatist Magazine DIplomatist September 2018 | Page 21

GLOBAL CENTRE STAGE T he relation between US and Turkey have come under increasing strain in past few weeks over the American Pastor Andrew Brunson, who was arrested over links to Fethullah Gulen, alleged by President Erdogan to be the mastermind behind 2016-coup attempt. US President Donald Trump is reportedly “frustrated” over Turkey for not releasing Brunson and has threatened to impose additional sanctions. On the other side, Turkish President Recep Tayyip Erdogan vowed to not cave in before the threats of US sanctions. He issued a warning statement saying that if the US doesn’t change its attitude then Turkey would start looking for other alternatives. With both sides refusing to abate, mending strained relations between the two NATO allies is going to be a lot more complicated and diffi cult amid new economic penalties. Impact on Bilateral Trade In 2016, , when Donald J Trump was announced as 45th President of the United S States, many analysts anticipated that his relationship with his Turkish counterpart Erdogan would be better than his former President Barack Obama, given their common belief in populi populism and nationalism. Both Trump and Erdogan have immense power that they seek to enhance. In fact, President Trump i in several occasions have h ailed the “close friendship” he f formed with his Turkish counterpart and welcomed its effor efforts and commitment to fi ght against terrorism in all forms. However, unpleasant issues like the future of Syria; extradit extradition request for exiled cleric Fethullah Gulen; Americ American sanction on Iran and their support to Kurds have h fractured US-Turkey relations severely. They were mended softly with loose stitches stitches, locking both in a “frenemy cycle” – an ap apt term to describe the two countries relatio relations in the 21st century. However, the c controversial case of Pastor Brunson has jeopardized j their bilateral ties to an irre irreparably extent. The refusal of the Turkish court to re release Brunson have triggered Trump t to double the import tariffs on Turkish steel and aluminium. The Trump administration have also imposed sanctions against Turkish Minister of Justice Abdulhamit Gul and Minister of Interior Suleyman Soylu, both of whom played leading roles in the organizations responsible for the arrest and detention of Brunson. According to Joshua Landis (a professor of M Middle East Studies at the University of Oklahoma in Norman), for Trump, winning Brunson freedom against Turkey is signifi cant to claim that his “strong-arm tactics” are effective in the realm of foreign policy. But, for Erdogan, US sanctions is stabbing Turkey on the back due to which he decided not to be a pawn in the game controlled by the Americans anymore. Erdogan, in an offi cial decree, announced to boycott US electronic goods. As a retaliatory measure to Trump’s double metal tariff on Turkey, Erdogan slapped a hefty tax on imports of US passenger car to 120 percent, alcoholic drinks to 140 percent and leaf tobacco to 60 percent. Various media also reported that tariffs were increased on goods such as cosmetics, rice and coal. The US is one of the major import and export partners of Turkey. The major export product includes clothes, electronics, automobile, agricultural products. Other products exported from Turkey include iron and steel, mineral fuels and oil, precious stones and tobacco. On another hand, the major import commodities f o r Tu r k e y i n c l u d e electrical equipment, mechanical appliances, optical instruments and pharmaceutical products. In 2016, the US goods and services trade with Turkey totalled an estimated $22.4 billion. Export was $12.5 billion; import was $9.9 billion. In last six months, their bilateral trade reached an estimate $5 billion, despite Turkey’s crumbling economy. Although the amount of products affected by the tariffs of both the countries are relatively small parts of the goods that they trade, further US sanctions will defi nitely deteriorate their bilateral trade and Turkish economy to an unpredictable level. The Turkish Gross Domestic Product, which grew by nine percent at one point under Erdogan’s leadership, is witnessing serious economic instability and downfall. The Turkish currency, lira, has lost about 40-45 per cent of its value against the US dollar so far. The stock market has fallen 17 percent and there also have been a 40 percent decline in the foreign investment. Under such circumstances, the US plan to review Ankara’s duty-free access to their markets could affect an additional $1.7 billion of Turkish exports. The US administration has made it very clear that they The US administration has made it very clear that they won’t make any concession towards Ankara unless it agrees to release detained Brunson instantly; otherwise, even the recent infl ux of cash from Qatar will not save Ankara’s economy. Extraordinary and Plenipotentiary Diplomatist • Vol 6 • Issue 9 • September 2018, Noida • 21