Trump plans to slap tariffs on EU steel and aluminium: sources
Sources tell Reuters that the United States plans to impose tariffs on steel and aluminium from the European Union, with an announcement expected as early as Thursday (May 31). Meanwhile, the EU is poised to retaliate. Eve Johnson reports.
While Donald Trump’s trade war with China simmers, he’s about to turn up the heat in Europe.
Sources told Reuters that the White House is set to hit the EU with steel & aluminum tariffs.
An announcement is expected as early as Thursday (May 31).
The U.S. president slapped a 25% tariff on steel imports and a 10% tariff on aluminum back in March, calling it a matter of national security.
(SOUNDBITE) (English) PRESIDENT OF THE UNITED STATES, DONALD TRUMP, SAYING:
“We want a lot of steel coming into our country, but we want it to be fair, and we want our workers to be protected, and we want, frankly, our companies to be protected.”
Trump gave temporary exemptions to the EU and five other trading partners, giving them a chance to hammer out agreements with the U.S.
But talks with the EU have gone nowhere, and the exemption runs out on Friday, June 1st.
The Trump administration wants the EU to cut back on its metals exports to the U.S.
Other countries like Australia and South Korea have won permanent exemptions to the tariffs because they’ve agreed to quotas.
But the EU has refused.
(SOUNDBITE) (French) GERMAN ECONOMY MINISTER, PETER ALTMAIER, SAYING:
“Europe is united and firm. We have worked in an extremely intensive manner in recent weeks to avoid the increase in tariffs, to allow for an evolution towards freer markets. But we are also prepared to react.”
The EU says it’s ready to retaliate with its own crackdown on U.S. imports like peanut butter and denim jeans.
Trump’s tariffs come amid a global glut in steel and aluminum which experts blame on over-production in China.
The tariffs have caused a lot of friction with US trading partners around the world, and it’s not over yet.
Last week, Trump launched yet another national security investigation into car and truck imports that could lead to even more tariffs.