USA President Donald Trump has announced a 25% tariff on steel and aluminum imports. As a result, any steel and aluminum exported to the United States will be subject to a 25% tariff.
On Monday (February 19), local time in USA, President Trump signed an executive order related to the imposition of the 25% tariff on steel and aluminum imports.
As a result of this order, any country selling steel or aluminum to the United States will face a 25% export tariff. During his election campaign last year, Trump had promised that he would implement this measure once in office.
Trump explained that since the USA imposes export tariffs on steel and aluminum when they leave the country, he is now enforcing the same 25% tariff on imports to protect American industries. He also suggested that similar tariffs could be extended to other critical sectors, including car parts, pharmaceuticals, and computer chips, signaling a broader move towards trade protectionism.
Thyssenkrupp, one of Germany’s top steel producers, commented on Monday that Trump’s decision would not have a major impact on their operations. They emphasized, “Since Europe remains our primary market, this tariff announcement will have limited consequences for our business.” The company remains confident that its strong European market presence will mitigate any potential disruptions.
Thyssenkrupp further clarified that since the majority of steel used in the USA is produced domestically by American companies, Trump’s tariff decision is not expected to drastically affect the global market. In addition, the European Union has acknowledged Trump’s move but has refrained from making any formal comment, indicating a neutral stance on the matter. The company remains confident that the impact on their operations will be minimal given the structure of the USA steel market.
Liberty News international correspondent reports that Trump has already implemented a 10% tariff on products imported from China. Furthermore, the Republican president had announced a 25% tariff on goods from neighboring countries Canada and Mexico, but after discussions with the leaders of both nations, he has decided to suspend the implementation of these tariffs for one month.
Since the outbreak of the COVID-19 pandemic, the global steel industry has been struggling with a downturn. USA steel manufacturers have voiced complaints, stating that certain countries are flooding the American market with “hot-rolled” steel products at low prices. This practice is creating significant challenges for USA steel producers, who argue that it is distorting the market harming the domestic industry by driving prices down and reducing production levels.
Similar complaints have been raised regarding the export of aluminum products. Commercial statistics indicate that the largest sources of steel exports to the USA are Canada, Brazil, Mexico, followed by South Korea, Vietnam, and India. These countries are key players in supplying steel to the USA market, which has been a point of contention due to the pricing practices affecting American producers.
LND/SAKIB
