USA steel, aluminum stocks gain as Trump moves ahead with tariffs
- Author: Joey Payne Jun 01, 2018,
Jun 01, 2018, 2:18
That's because steel manufacturers in the United States employ far fewer people than industries that make things out of imported steel, like automakers.
In a statement released by Ontario NDP leader and Hamilton Centre MPP, Andrea Horwath said the announcement will immediately impose devastating tariffs on Canadian steel and aluminum - putting many thousands of good jobs in Ontario at risk.
"Without a strong economy, you can't have a strong national security", Ross said. Those negotiations had a Friday deadline.
The European Commission, which coordinates trade policy for the 28 EU members, has said the bloc should be permanently exempted from the tariffs since it is an ally and not the cause of steel and aluminium overcapacity.
"The U.S. now leaves us with no choice but to proceed with a [World Trade Organization] dispute settlement case and with the imposition of additional duties on a number of imports from the U.S. We will defend the Union's interests, in full compliance with global trade law", Juncker said in a statement.
The chaos is partly the effect of President Donald Trump's mercurial temperament, and the fact that he is served by advisers who disagree with each other.
The U.S. wanted a NAFTA deal passed under this Congress, but that window is closing.
Edward Alden, a senior fellow at the Council on Foreign Relations, told Business Insider that Trump's decision may not technically constitute the start of a trade war - but was certainly close. The Dow fell about 200 points.
"Unfortunately, the actions taken today by the American government do not seem to be headed in that direction", Trudeau said.
News reports suggest that Mexico has already retaliated and will impose equivalent measures on a diverse product list, including flat steel and some pork products.
"It's totally unacceptable that a country is imposing unilateral measures when it comes to world trade", said Junker, who threatened the European Union would soon issue "counterbalancing measures".
"We expect immediate retaliation from the European Union, which, on a net basis, to us serves no positive economic objective", KeyBanc analyst Philip Gibbs said in a note.
Foreign Affairs Minister Chrystia Freeland, who pushed the steel and NAFTA issues during her meeting on Tuesday in Washington with US trade czar Robert Lighthizer, has also made it clear that Canada would retaliate if the duties are imposed. "Where was I? Whenever I'm thinking about Trump, I'm lost", he said before resuming his speech and being informed near the end about the announcement. "These tariffs are totally unacceptable".
Brazil, Argentina and Australia have agreed to limit steel shipments to the U.S.in exchange for being spared the tariffs, the Commerce Department said.
"We have continuously engaged with the U.S.at all possible levels to jointly address the problem of overcapacity in the steel sector", he added. Mexico was the third largest, behind South Korea.
Fears of a global trade war are mounting as the Trump administration also considers tariffs on USA auto imports and duties on $50 billion in Chinese goods.