Global Leaders Set to Retaliate as Trump Imposes Steel and Aluminium Tariffs
European and world leaders have vowed immediate retaliation following Donald Trump's recent proclamations that impose 25% tariffs on all steel and aluminium imports to the United States—a move that threatens to ignite a global trade war. Ursula von der Leyen, the President of the European Commission, expressed her deep regret at the decision and stated, "Unjustified tariffs on the EU will not go unanswered." She emphasized that the European Union (EU) would take firm and proportionate countermeasures to safeguard its economic interests, asserting, "We will protect our workers, businesses, and consumers."
In a statement delivered to the European Parliament, EU Trade Commissioner Maroš Šefčovič highlighted that Trump's tariffs would likely exacerbate inflation, while reiterating the bloc's commitment to pursue a mutually beneficial resolution as quickly as possible. He remarked, "The EU sees no justification for the imposition of tariffs on our exports, which are economically counterproductive. Tariffs are taxes; they are bad for businesses, worse for consumers, and harmful to the global trading system."
Trump's new measures raise the US tariff rate on aluminium from 10% to 25% and eliminate all country-specific exemptions or quotas on both metals, set to take effect on March 4. By standardizing tariffs across all nations, he maintained that it would simplify the tariff structure, stating, "It’s 25% on all countries." Furthermore, he mentioned potential reciprocal tariffs for nations that impose taxes on US imports, indicating that he is also considering levies on cars and pharmaceuticals.
This isn't Trump's first foray into imposing tariffs; during his previous term, he enacted similar measures impacting steel and aluminium from multiple countries, triggering countermeasures from the EU targeting emblematic US products, such as Harley-Davidson motorcycles, bourbon whiskey, jeans, and orange juice.
In light of the recent tariffs, Canadian Prime Minister Justin Trudeau, attending an AI summit in Paris, voiced strong opposition, declaring that Canadians would "stand up strongly and firmly" against what he described as unacceptable actions from the Trump administration.
Similarly, South Korean Acting President Choi Sangmok emphasized that Seoul would focus on protecting the interests of its corporations while seeking to maintain a close relationship with Washington and exploring diplomatic solutions.
German Chancellor Olaf Scholz joined the chorus of disapproval, asserting that the EU would present a united front in response to Trump's actions. "If the US leaves us no other choice, the EU will respond as one," he informed the Parliament, asserting the EU's economic clout as the world’s largest market with 450 million citizens.
French Industry Minister Marc Ferracci noted that while France is not a significant producer of aluminium or steel, it could still be indirectly affected if Chinese exports, deterred by US tariffs, find their way to European markets. He stated, "We should expect that there will be some effects from Donald Trump's tariffs. Europe must respond in a united manner because we know that his strategy aims to divide Europeans. We must respond firmly."
As global tensions escalate over trade disputes, the ramifications of Trump's tariff proclamations are set to unfold, potentially leading to a broader economic confrontation threatening the stability of international trade.
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