U.S. to impose steel, aluminum tariffs on EU, Canada, Mexico
17:43, May 31, 2018
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Friday's deadline for exemptions also affects Mexico and Canada, which are in negotiations with the United States on the North American Free Trade Agreement that Trump has said he wants to revamp, or abandon if the talks fail.
Officials from the three trading partners - among Washington's closest allies for decades - have dismissed the idea that their shipments to American customers endanger the United States.
The White House delayed implementation of the tariffs for some countries, giving those trading partners a chance to offer concessions to avoid the tariffs.
The EU, Canada and Mexico had been given a temporary reprieve from the tariffs when they were first announced by Trump two months ago.
The Commission has said the European Union will set duties on 2.8 billion euros (US$3.4 billion) of U.S. exports, including peanut butter and denim jeans, if its metals exports to the United States worth 6.4 billion euros (US$7.5 billion) are subject to tariffs.
"Hopefully they can agree to keep talking about these issues, although that is unlikely", he said, adding that Trump's recent actions proved to United States allies that Washington would not de-escalate the dispute.
Study says auto tariffs will cost 157K jobs MORE on Thursday said President TrumpDonald John TrumpKoch brothers company tweets support for Kim Kardashian after Trump meeting Romney reveals he wrote in wife's name for president in 2016 Pompeo has dinner with top North Korean official in NY: report MORE has chose to end the temporary exemptions for the three key trading allies despite their two months of lobbying to avoid the tariffs.
The Trump administration used the threat of tariffs in NAFTA talks, saying Canada and Mexico would receive a permanent pass only as part of a renegotiated deal.
"If there is an escalation it will be because the European Union would have chose to retaliate", he said, adding that Washington did not want a trade war with the EU.
Trump's tariffs come amid a global glut in steel and aluminum which experts blame on over-production in China.
Tariffs on steel and aluminum imports to the US can help local producers of the metals by making foreign products more expensive. The Americans also pressed for a quota on the amount of steel and aluminium Canada could ship to the United States. "You saw his reaction when China chose to retaliate".
Prime Minister Justin Trudeau lobbied Mr. Trump directly by telephone last week, and contacted Vice-President Mike Pence on Tuesday.
Commerce Secretary Wilbur Ross said the tariffs would be 25 percent on steel and 10 percent on aluminum as the administration followed through on the penalties after earlier granting exemptions to buy time for negotiations.
He said he expects the talks to go smoothly because Pyongyang and Washington both know what they want from each other. In response, the North said Friday that it stays open to talks with the USA anytime and in any format.
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