Trade war escalates as Trump’s 25% metal tariffs take effect happymamay

The definitions imposed by US President Donald Trump have identified steel and aluminum imports in a move that is likely to rise with some of the largest commercial partners in America.

This measure raises a steadfast duty on steel and aluminum that enters the United States to 25 % and ends all exemptions from countries to drawings.

An immediate response from the European Union, which he said, would have imposed a counter -tariff on billions of American goods.

Trump hopes that the customs tariff will enhance the production of American steel and aluminum, but critics say it will raise the prices of American consumers and economic growth.

The American Iron and Steel Institute (AISI), a group representing US steel makers, welcomed the definitions that they will create job opportunities and increase local steel manufacturing.

Group President Kevin Dempsey said that the move closed a system of exemptions, exceptions and shares that allowed foreign producers to avoid definitions.

“AISI coincides with the president’s behavior to restore the safety of definitions on steel, implement a strong program and revitalize to address unfair commercial practices.”

The United States is a major importer of aluminum and steel, Canada, Mexico and Brazil is among its largest mineral suppliers.

Other countries immediately responded to this step.

UK Trade Minister Jonathan Reynolds said he was disappointed and “all options were on the table” to respond in the national interest.

The European Commission said in a statement that it imposes a counter -tariff on 26 billion euros (21.9 billion pounds, 28.3 billion dollars) of American goods.

Australian Prime Minister Anthony Albaniz said the Trump administration’s decision to move forward with the new definitions is “completely unjustified.”

He added, “It is against the spirit of our permanent friendship and is mainly the benefits provided by our economic partnership for more than 70 years,” he added.

Albaniz, who was trying to secure a definition exemption, said that Australia will not impose reprisals because such a step will only rise the prices of Australian consumers.

Meanwhile, Canada Energy Minister Jonathan Wilkenson told CNN that his country will discuss but added that Canada is not looking to escalate tensions.

Canada is one of the closest trade partners in America, and the largest source of steel and aluminum for the United States.

In 2018, during his first term as president, Trump imposed a 25 % import tariff on steel and 10 % on aluminum, but many countries were negotiated on many countries.

This time, the Trump administration indicated that there will be no exemptions.

Definitions mean that American companies that want to bring minerals to the country will have to pay a 25 % tax on them.

This is likely to lead to the high costs of a large number of American industries, including space, car manufacture and construction.

Michael Dimino operates Linda Tool, the Brooklyn company that manufactures parts of the space industry. All that it makes involve a type of steel, and many of them come from American mills.

“If I have higher prices, I spend them on my clients. They have higher prices, they transfer them to the consumer,” he said, adding that it supports the call to increase manufacturing in the United States, but they warn of the president’s movements that may lead to counterproductive results.

The American Automobile Policy Council, a group representing the car giants such as Ford, General Motors and Stellantis, like this Fears.

“They are concerned that canceling the exemptions specifically to Canada and Mexico will add great costs” to suppliers of auto manufacturers.

Some economists warn that customs tariffs can help steel and aluminum industries in the United States but harm the wider economy.

It protects [the steel and aluminium] Bill Rinsh, a former official at the Ministry of Commerce, is now at the Center for Strategic and International Studies, that industries that harm users in the direction of the river course than their products by making them more expensive.

It raised the fear of the economic cost of Trump’s commercial definitions Selling in the United States and global stock markets Which accelerated this week after the US President refused to exclude the possibility of economic recession.

The S& P 500 index of the largest companies listed in the United States fell by 0.7 % on Tuesday after it decreased by 2.7 % on Monday, which is the largest decrease for one day since December.

The FTSE 100 participation index in the UK, which fell early on Tuesday, closed more than 1 %. CAC 40 also fell in France and Germany.

Meanwhile, Oxford Economic Research said in a report that it reduced its growth expectations in the United States this year from 2.4 % to 2 % and made more severe adjustments to its view of Canada and Mexico.

His report added: “Despite the reduction, we still expect the American economy to surpass the other major major economies during the next two years.”

“Understanding the path of definitions is above ever.”

Earlier on Tuesday, the United States and Canada It retreated from the edge of the abyss From a great escalation in the trade war.

It was after Trump said that he had stopped a plan to double the tariffs on Canadian solid imports and minerals to 50 %, just hours after its threat first.

This step, which the president made after the Canadian province of Ontario, suspended new charges of 25 % on the electricity it sends to some northern states in the United States.

Despite climbing, Canada will still face a 25 % Trump tariff for steel and aluminum imports that have just been in effect.

Additional reports from Michelle Flaryi in New York