President Obama’s misguided State of the Union comments on trade last night are followed by the announcement of soon-to-be-former U.S. Trade Representative Ron Kirk to start negotiating a trade deal with Europe.  I received this in my email inbox this morning from the Office of the USTR, attributed to Kirk.

“I welcome President Obama’s decision with the Leaders of the European Union to pursue an ambitious, high-standard Transatlantic Trade and Investment Partnership. The significant economic benefits foreseen in the work of the U.S.-EU High Level Working Group on Jobs and Growth include new jobs, economic growth and international competitiveness on both sides of the Atlantic.  It will be a great endeavor for the United States to work with partners in the European Union – with guidance from our stakeholders and Members of Congress – to strengthen our historic partnership.”

Hmm.  U.S. tariffs on European imports are low now.  And European border taxes on U.S. goods are high, replacing the tariffs they previously reduced.  While one can always hope, the Administration is not likely to negotiate a deal to reduce, neutralize or eliminate those border taxes.  So what’s the point?  And what’s in it for us?  And what do we have to give up to persuade others to enter a deal when our tariffs are already low for Europe?