Donald Trump meets one of his -many tariff threats and Fold the bet: Since Wednesday, the United States has duplicate tariffs on steel and aluminumwhich become 50%. A measure that adds more uncertainty, if possible, to those in itself delicate negotiations with Chinaand the European Union to stop the commercial war undertaken by the Republican president.
This increase, that the US president announced just a few days ago, promises to especially affect countries such as Canadathe great supplier of both metals to the US, and large steel producers such as Mexico, Brazil, South Korea or Vietnambut also to the Asian giant, the second country that sells the most aluminum to the North American country, as collected by the EFE agency.
There is a country, however, that is saved, at least for the moment: United Kingdomto which Trump has exempted from that global tariff rise on steel and aluminum to allow the implementation of the bilateral agreement reached at the beginning of last month giving different treatment to the British country. Washington, however, will evaluate in July if London has fulfilled its share of the treatment. If you consider that you have not done so, you could also apply that climb.
The decree
The executive order for which Trump has imposed this tariff rise, cited by EFE, argues that it is necessary for imports of these metals to “They do not threaten to harm national security“The increase, the president argues,” will contrast more effectively to foreign countries that continue to discharge surpluses of steel and aluminum at low price in the US market, thus undermining the competitiveness of US industries. “
Although he believes that 25% tariffs that were already in force have facilitated “a critical support of prices” in the US market, he argues that they have not yet allowed their industries to develop and maintain the rates of use of the production capacity necessary for their strength and the needs of national defense.
Delicate negotiations
This increase in rates comes at a time when The courts have begun to put obstacles to Trump’s tariff policy. Last week, the Trade Court blocked a good part of the president’s tariffs -although not those of steel and aluminum -, ensuring that it had exceeded its powers. Subsequently, however, The Court of Appeals restored themwaiting for the appeal raised by the Trump administration to be resolved.
Also after Trump has accused Beijing to violate your agreement to temporarily reduce mutual taxes. The Chinese authorities, meanwhile, argue that it is the United States who has violated that pact. According to the White House, Trump and Chinese President Xi Jinping, they will keep this week a call to try to unlock the situation.
But the situation is not only tense with China, but also with the European Union. Brussels has lamented this increase in steel and aluminum tariff Threatened the EU with imposing 50% tariffs for the lack of advances in negotiations.
In this context, the European Commissioner of Commerce, Maros Sefcovic, plans 90 -day extension that Trump gave before his badly called “reciprocal tariffs” enter into force.
