Trump announces tariffs on steel and aluminum

  • Trump announces tariffs on steel and aluminum

Trump announces tariffs on steel and aluminum

The European Union and Japan, the United States' top economic and military ally in Asia, also reiterated that their exports were not a threat to USA national security, rejecting Trump's justification for imposing the tariffs.

President Donald Trump is to press ahead with the imposition of 25 percent tariffs on steel imports and 10 percent on aluminum, although he said on Thursday he was willing to strike a deal that could see Canada and Mexico exempted.

"We can deal multilaterally with the overproduction of steel, but this is the wrong way to go about it", Trade Secretary Liam Fox said.

Trump has said the tariffs are needed to reinforce lagging American steel and aluminum industries and protect national security.

Some of these countries - particularly Japan, Mexico and Canada - may get entangled in a tit-for-tat trade war with the Trump administration.

"We have been very clear that (the USA decision) is not in compliance with the WTO", she said.

But Schumer urged Trump not to annoy US' allies. In response, 11 Asia-Pacific countries formed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), although China still remains excluded from the agreement. "We will be doing something with them". Or do we actually have plenty of steel for that, and we're doing this to punish countries that we have a trade deficit with?

But when it came to the formal announcement there was no mention of Australia. Despite their exemptions, Trump has hinted they may be subject to the tariffs if there isn't major progress in the renegotiation of NAFTA, the three-nation trade pact.

House Speaker Paul Ryan (R-Wis.) said Thursday he disagreed with the decision, but he did not go so far as to suggest action to undo the tariffs.

"I want to tell them that falling to exchanges of unilateral measures will not be in the interest of any country", Seko said, in an apparent reference to the European Union, which has suggested retaliatory taxes in response to the US tariff imposition.

"We will be making a decision as to who they are - we have a very close relationship with Australia", he said.

He enacted the tariffs using a rarely used legal provision that allows the president to impose tariffs unilaterally if imports are determined to pose a national security risk. Labor backed that view on Monday. He expected Australia's domestic processes to be settled by the end of September.

The Chinese Commerce Ministry criticised Mr Trump for taking unilateral action instead of working through the World Trade Organisation. "You don't have steel, you don't have a country".

But the Turnbull government insists the changes aren't necessary. "Labor will not let Australia become a dumping ground for cheap foreign goods sent here by trade cheats", he said. "The measures will trigger confusion in the steel market not only in the United States but in Asia", Seko told a news conference. Some countries might qualify for an exemption if their products "no longer threaten our security", the president said.