US Steel Industry: President Trump announces steel and aluminum tariffs
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US President Donald Trump says punitive tariffs against foreign importers of steel and aluminum could start as early as next week. He says the move is in response to years of unfair trading practices. The announcement comes as China's top economic adviser continues his visit in Washington. CGTN's Roee Ruttenberg has more.
For years, Washington has blamed foreign importers of dumping cheap metals into the U.S.. The finger often pointed at China. Donald Trump, the U.S. President, says the practice has decimated American industry. On Thursday, surrounded by executives at the White House, Trump laid out his plan. It starts, he said, with tariffs.
DONALD TRUMP US PRESIDENT "It'll be 25 percent for steel. It'll be 10 percent for aluminum. And it'll be for a long period of time. The move was welcomed by Trump's guests."
DAVE BURRITT CEO, UNITED STATES STEEL CORPORATION "We are not protectionists. We want a level playing field. It's for our employees, to support our customers. And when we get this right, it will be great for the United States of America."
U.S. defense officials have long argued that America's inability to competitively produce steel-for U.S. ships and aircrafts - is a matter of national security - and last month the U.S. Commerce Department came to the same conclusion - opening the door for Thursday's action. But the Trump tariffs are global. Meaning, potentially, they will also target key defense allies, including South Korea and Canada both of which import much more steel into the U.S. than China.
Canada's trade minister called the move unacceptable. And the EU's Jean-Claude Juncker warned that Brussels will react firmly with countermeasures. Trump's announcement comes just 24 hours after the U.S. said it was considering similar moves on imports of aluminum foil-about $400 million is imported annually-prompting this response.
HUA CHUNYING SPOKESPERSON, CHINESE FOREIGN MINISTRY "The irrational overuse of trade remedy measures by the US is not only unhelpful for rejuvenation of its relevant industry but will harm the states' employment and interest of the US customers. In response to this erroneous action by the US, we will take necessary measures to safeguard our legitimate rights and interests."
The announcement comes as Liu He - the top economic adviser for China's leadership - continued a series of meetings in Washington. On Thursday, as Trump spelled out his tariff plan, Liu was due to meet with White House officials hoping to defuse trade tensions between China and the U.S..
ROEE RUTTENBERG WASHINGTON Critics say that in jumping straight to tariffs, the U.S. has bypassed the World Trade Organization's dispute mechanism the very body it helped set-up. And, some are warning the move may set a bad precedent for others countries to claim 'national security' in protecting their own key industries moving forward. Roee Ruttenberg, CGTN in Washington.