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The United States imposes taxation on steel and aluminum imports from the European Union, Canada and Mexico and is opposed and revenged

Jun. 04, 2018

In a wave of opposition at home and abroad, U.S. Secretary of Commerce Ross said on the telephone briefing on May 31 that the United States will impose 25% and 10% on imported steel and aluminum products from the European Union, Canada, and Mexico from June 1. % of tariffs. Subsequently, the White House officially issued a statement on the matter. The statement also stated that the United States will continue to pay attention to changes in the import of steel and aluminum products and adjust the taxation measures in accordance with the needs of national security.

In response to the United States’ decision to impose tariffs on steel and aluminum for the European Union and other countries, European Commission Chairman Juncker immediately issued a press statement on the same day saying that these unilateral measures by the United States are unreasonable and the EU will immediately launch a dispute resolution mechanism to the WTO and will The United States soon took countermeasures.

On May 31, Canadian Prime Minister Trudeau and Foreign Minister Freeland held a press conference in Ottawa, saying that the US’s approach is “completely unacceptable.” The Canadian government will take countermeasures against the United States, totaling 16.6 billion Canadian dollars, as long as U.S. tariffs remain unchanged, the Canadian government will continue to implement tariffs and will initiate legal action at the World Trade Organization.

The Mexican Ministry of Economic Affairs issued a communique on May 31 stating that in the face of the decision of the United States to impose high tariffs, Mexico will also implement equivalent measures on a wide range of products from the United States. These products include flat steel, lighting fixtures, and pork legs. Pork shoulders, sausages and food preparations, apples, grapes, blueberries, cheese, etc. The communique pointed out that before the U.S. government ceases imposing high tariffs on steel and aluminum products, Mexico’s countermeasures will continue to be effective.

Some analysts believe that because the United States has continued to waive the steel and aluminum tariffs and is currently linked to the ongoing North American Free Trade Agreement negotiations between the three countries, the three parties still have room for manoeuvre on steel and aluminum tariff exemptions.

Many European countries such as France, Germany, and Britain have stated in succession that this decision of the United States is wrong and has no benefit for the United States itself and European countries. It will inevitably invite countermeasures from all parties.

French State Secretary Le Mowana expressed regret over the decision of the United States. He said that France will promote the EU’s self-defense and countermeasures.

Aegert, head of the European Iron and Steel Industry Union, said that the United States imposed high tariffs on European steel and aluminum products, which will have an impact on the European steel and aluminum industry. He called on the EU to take response measures as soon as possible.

In response to the United States' decision to impose high tariffs on steel and aluminum products against Canada, Mexico, and the European Union, the International Monetary Fund, the IMF, issued a statement expressing its regret and called on all countries not to use extraordinary measures to resolve trade disputes.

The statement stated that all people in the long-term trade war are losers, and the International Monetary Fund calls on all countries to work together constructively to reduce trade barriers rather than taking extraordinary measures to resolve trade differences.


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