The European Union has expressed strong regret over Donald Trump’s surprise plan to double US tariffs on steel and aluminium, citing risks to bilateral trade talks. Trump’s announcement to raise tariffs from 25% to 50% aims to boost local industry and national supplies. The European Commission stated, “We strongly regret the announced increase of US tariffs on steel imports from 25% to 50%.”
This decision adds uncertainty to the global economy, increasing costs for consumers and businesses on both sides of the Atlantic. The EU’s executive arm also noted that the tariff increase undermines ongoing efforts to reach a negotiated solution. In a show of good faith, the EU paused its countermeasures on April 14 to allow continued negotiations but warned that it is prepared to impose countermeasures if necessary.
The UK’s zero-tariff deal with the US on steel and aluminium, although agreed upon, has not yet been signed, raising questions about its future. UK steelmakers have described the doubling of tariffs as “yet another body blow” to the industry. In response, a UK government spokesman said, “We are engaging with the US on the implications of the latest tariff announcement and to provide clarity for industry.”
Trump’s announcement is part of his rollercoaster approach to tariffs since re-entering office in January. He claims the move will boost the local steel industry and national supply while reducing reliance on China. Trump also mentioned a $14 billion investment in the area’s steel production through a partnership between US Steel and Japan’s Nippon Steel. However, he later clarified that he had yet to see or approve the final deal.
Key Reactions:
- European Commission: “This decision adds further uncertainty to the global economy and increases costs for consumers and businesses on both sides of the Atlantic.”
- UK Steelmakers: “Yet another body blow” to the industry.
- UK Government: Engaging with the US on implications and providing clarity for industry.
- Trump: Claims the move will boost local steel industry and national supply, reducing reliance on China.