London
19 °C
Manchester
Glasgow
12 °C
Dublin
18 °C
Belfast
18 °C
Washington
28 °C
Denver
Atlanta
29 °C
Dallas
Houston Texas
New Orleans
El Paso
34 °C
Phoenix
Los Angeles
33 °C
20 °C
17 °C
8 °C
US steel, aluminum tariff hikes to take effect Wednesday: W.House / Photo: SAUL LOEB - AFP/File
NYSE - LSE
US steel, aluminum tariff hikes to take effect Wednesday: W.House
The United States will double its tariffs on imported steel and aluminum starting Wednesday, according to the White House, as it published an order signed by President Donald Trump.
The move marks a latest salvo in Trump's trade wars, bringing levies on both metals from 25 percent to 50 percent.
But tariffs on metal imports from the UK will remain at the 25 percent rate, while both sides work out duties and quotas in line with the terms of their earlier trade pact.
Overall, the aim is to "more effectively counter foreign countries that continue to offload low-priced, excess steel and aluminum in the United States," according to the order, which added that these undercut the competitiveness of US industries.
"Increasing the previously imposed tariffs will provide greater support to these industries and reduce or eliminate the national security threat posed by imports of steel and aluminum articles and their derivative articles," the order added.
Trump announced his decision to hike tariffs on steel and aluminum when he addressed workers at a US Steel plant in Pennsylvania last week.
"Nobody is going to be able to steal your industry," he said at the time.
"At 25 percent, they can sort of get over that fence. At 50 percent, they can no longer get over the fence," he added.
The move, however, fans tensions with key US trading partners.
The European Union warned over the weekend that it was prepared to retaliate against levies.
It said that the sudden announcement "undermines ongoing efforts to reach a negotiated solution" between the bloc and the United States.
Already, Washington is in talks with various countries after Trump imposed sweeping 10 percent tariffs on almost all partners in April and announced even higher rates for dozens of economies.
While the steeper levels have been paused during ongoing negotiations, this halt expires in early July -- adding to urgency to reach trade deals.
Since returning to the presidency in January, Trump has imposed sweeping tariffs on allies and adversaries alike in moves that have shaken financial markets.
He has also imposed tariffs on sector-specific imports like autos, apart from targeting steel and aluminum.
J.Campbell--SMC
