Trump set to hike import tariff on steel, aluminum despite backlash fear
WASHINGTON, (MILLAT ONLINE):Trump set to hike import tariff on steel, aluminum despite backlash fear
“ President Trump on Sunday appeared steadfast on his plan to hike import tariffs on steel and aluminum, ignoring warnings of a backlash from its trading partners and fears that move will raise prices of domestic goods.
“We are on the losing side of almost all trade deals,” Trump tweeted. “Our friends and enemies have taken advantage of the U.S. for many years. Our Steel and Aluminum industries are dead. Sorry, it’s time for a change! MAKE AMERICA GREAT AGAIN”, the President tweeted early Sunday, a social media platform he has used to make policy announcements.
Many trading partners, including the European Union, have threatened retaliatory measures to the proposed hike of 25 percent in tariff on steel and aluminum that is expected by the weekend.
Hopes that President Trump would reconsider the decision in the face of the opposition faded after officials said he remained on course to follow up with the announcement.
Speaking to ABC news, Commerce Secretary Wilbur Ross said he did not know exactly what day the decision would be announced but added that the lawyers were working on the proposal and it was expected this week.
White House trade officer Peter Navarro spoke to various news channels and dispelled the impression created in part of media that major trading partners would not be affected by the decision.
He said he did not believe that President Trump would exempt allies such as China, the European Union, Japan and South Korea from the proposed the tariff. “As soon as he exempts one country, his phone starts ringing from the heads of state of other countries.”
He, however, made it clear that there would be an exemption procedure for particular cases through which companies could ask for a particular steel or aluminum product to be exempted from tariffs if they cannot get it from a domestic producer.
While President Trump is basing his decision on what he called unfair trade deals with partners, most nations see it as a thinly discussed excuse to take protectionist measures. According to a report in the online POLITICO magazine, many from his Republican party, who believe in free trade, are opposing the proposed hike.
National Economic Council director Gary Cohn, who operates from the White House, is leading the group which is hoping that President Trump will change his mind and that it would be implemented across the board and there would be exemptions.
Those opposing says that tariff hike will damage the US economy, tank the stock market and would invite retaliation from Europe, Mexico, Canada and other key U.S. allies.