US tariffs on steel and aluminum double to 50%
Trump’s 50 per cent tariffs on steel and aluminum imports came into effect on Wednesday. Trading partners around the world are voicing concern, and the EU still hopes to strike a deal and win an exemption.
After weeks of imposing tariffs, only to later lift them, US president Donald Trump has now shifted his focus on steel and aluminum markets. Visiting a steel mill in Pennsylvania last week, he said that ratcheting up levies on foreign metals is crucial to revitalise American steel mills and aluminum smelters and that it would “effectively counter foreign countries that continue to offload low-priced, excess steel and aluminum in the United States market and thereby undercut the competitiveness of the United States steel and aluminum industries.”
The tariff hike applies to all trading partners except the United Kingdom, which secured an exemption through a bilateral trade agreement. Canada and Mexico, America’s largest and third-largest steel suppliers, respectively are expected to be hit hardest. Other significantly affected countries include Brazil, South Korea, and Germany.
EU officials have voiced concern over the steep tariffs but have signalled the bloc is unlikely to retaliate immediately, as sensitive talks with Washington are ongoing. Negotiations around other Trump-imposed tariffs have been taking place for weeks, and a key meeting between EU trade commissioner Maros Sefcovic and US trade representative Jamieson Greer is scheduled for Thursday in Paris.
At the same time, the EU has stressed it is ready to take action if no significant progress is made. “If no mutually acceptable solution is reached, both the existing and possible additional EU counter-measures will automatically take effect on 14 July or earlier if circumstances require”, said European Commission spokesperson Olof Gill on Monday.
The bloc had paused its countermeasures on 14 April to allow negotiations to take place.
© BELGA PHOTO FREDERIK UREEL