US tariffs on steel, aluminum imports from EU, Canada, Mexico to take effect from Jun 1

chinadaily.com.cn Policy,  Steel Products,  Others 2018-06-04 08:41:00

US Commerce Secretary Wilbur Ross said on May 31 that US tariffs on steel and aluminum imports from the European Union (EU), Canada and Mexico will take effect from June 1.

 

US President Donald Trump has decided not to extend the temporary steel and aluminum tariff exemptions for these three key trading partners, Ross told reporters at a conference call.

 

"We look forward to continued negotiations with Canada and Mexico on one hand and with the European Commission on the other hand as there are other issues we need to get resolved," he said.

 

In March, Trump announced plans to impose 25% tariff on imported steel and 10% on aluminum, while delaying implementation for some trading partners to offer concessions to avoid the tariffs.

 

The White House said in late April that the steel and aluminum tariff exemptions for EU member countries, Canada and Mexico would be extended until June 1 in order to give "a final 30 days" for them to reach agreements over trade negotiations. But those negotiations have so far failed to result in a deal.

 

"The United States was unable to reach satisfactory arrangements, however, with Canada, Mexico, or the European Union, after repeatedly delaying tariffs to allow more time for discussions," the White House said Thursday in a statement.

 

The Trump administration is using the so-called Section 232 of the Trade Expansion Act from 1962, a decades-old law, to slap tariffs on imported steel and aluminum products on the ground of national security, which has drawn strong opposition from the domestic business community and US trading partners.

 

The administration's latest move is likely to further increase trade frictions between the United States and its major trading partners.

 

"The EU believes these unilateral US tariffs are unjustified and at odds with WTO (World Trade Organization) rules. This is protectionism, pure and simple," Jean-Claude Juncker, president of the European Commission, said May 31 in a statement.

 

EU Trade Commissioner Cecilia Malmstrom added that the EU will now trigger a dispute settlement case at the WTO, since these US measures "clearly go against" agreed international rules.

 

The EU will use the possibility under WTO rules to rebalance the situation by targeting a list of US products with additional duties, and the level of tariffs to be applied will reflect the damage caused by the new US trade restrictions on EU products, according to the EU.

 

Analysts said the US decision to move forward steel and aluminum tariffs against Canada and Mexico could also complicate the talks to renegotiate the North American Free Trade Agreement (NAFTA).

 

Talks on renegotiating the NAFTA began in August 2017 as Trump threatened to withdraw from the 23-year-old trade deal. Following multiple rounds of talks, the three countries remain divided over the rules of origin for autos and other issues.

 

(Writing by William Gao  Editing by Harry Huo)
For any questions, please contact us by inqury@fwenergy.com or +86-351-7219322.

Share this article
Connect with us

Editors Recommendations

1 Weekly global coal market news summary (Feb 11 – Feb 15) 2019-02-15

Indonesian thermal coal rebounds to 3-mth high in China import market Prices of Indonesian thermal coal have rebounded to a three-month high in China's seaborne import market, presenting a s

2 China's spot thermal coal prices rebound to 600 yuan/t; bullish sentiment grows 2019-02-15

China's spot thermal coal prices rebounded to 600 yuan/t ($88.6/t) at northern ports after holding flat for six days following five-day lose since late-January, fanning bullish sentiments among market

3 S. Korea Jan met. coal imports down 14% MoM 2019-02-15

South Korea imported 2.28 million tonnes of metallurgical coal (including coking coal and PCI coal) in January, decreasing 18.08% year on year and 14.33% month on month, according to the latest custom

4 China's Shanxi finds 2.44 bln T of coal reserves in 2018 2019-02-15

China's coal hub Shanxi province discovered new coal reserves totaling 2.44 billion tonnes in 2018, Xinhua News Agency reported on February 14, citing Shanxi Natural Resources Department.

5 Valin Steel Jan steel sales advance 10% on yr 2019-02-15

Hunan Valin Steel Co., Ltd. (SZSE: 000932), one state-owned company of China, sold 1.7 million tonnes of finished steel last month, up 10% from a year ago, the company said in an announcement on Febru

6 China Coal Daily Track (Feb 15) 2019-02-15

Thermal coal Domestic market Production area In Shaanxi, some small mines intended to lower their prices following several big ones' cuts a couple of days ago. Not many coal mines resume

7 Indonesian thermal coal rebounds to 3-mth high in China import market 2019-02-15

Prices of Indonesian thermal coal have rebounded to a three-month high in China's seaborne import market, presenting a sharper growth following small rises after Chinese Lunar New Year holidays.

8 Rising demand pushes up Chinese thermal coal prices further 2019-02-15

Chinese thermal coal market became more active with increased inquiries and trades at northern transfer ports, driving prices to move up further. On February 14, the Fenwei CCI index for

9 China's factory-gate prices slow for seventh month, raising deflation fears 2019-02-15

China's factory-gate inflation slowed for a seventh straight month in January to its weakest pace since September 2016, raising concerns the world's second-biggest economy may see the return of deflat

10 China Jan coke exports rise 4.4% to 0.7 Mt 2019-02-15

China's coke exports totaled 716,000 tonnes in January, rising 4.4% from a year yet falling 35.96% from a month ago, showed data from the General Administration of Customs on February 14.

Most Read Articles

1 China's import coal ban may last for months; Australian miners suffer 2019-02-11

China is said to possibly maintain its tight controls on import coal for the coming months after February, an expectation among market players shortly after the nation strengthened coking coal import

2 China coal imports surge to new high in Jan amid delayed clearance 2019-02-14

China's coal imports surged to a new high in January since February 2014, Chinese customs data showed on February 14, more than triple of the size of December. January's coal imports tota

3 Australia to invest more in coal projects in next few years 2019-02-12

Australia is expected to increase investment in coal projects significantly in the next few years, according to the latest "Resources and Energy Quarterly" report for December quarter published by the

4 Upbeat signs emerge in China thermal coal market 2019-02-13

China's coastal thermal coal market ran a bit stronger as participants gradually returned from the Spring Festival holiday, with offer prices inching higher two days after the weeklong break.

5 Registration kicks off for 9th (2019) Global Coking Coal Resource & Market Summit 2019-02-14

Hosted by China's coal industry portal sxcoal.com, the 9th (2019) Global Coking Coal Resource & Market Summit is set to convene in Beijing in April 10-11, 2019. China's cok

6 Chinese utilities' post-holiday coal buying slack; import policy in spotlight 2019-02-12

Most utilities in China were still staying on the sidelines after the weeklong Spring Festival break, with market sentiment shadowed by a lack of clarity on the government's import policy.

7 Australian thermal coal prices fall to lowest since Apr 2018 on weak China demand 2019-02-11

Australian thermal coal prices have fallen to their lowest since April 2018 as a slowdown in Chinese imports dents demand for the commodity. Spot cargo prices for Australian thermal coal

8 China import thermal coal trades remain light on lukewarm buying 2019-02-14

Trades of thermal coal remained light in Chinese seaborne import market so far this week, as domestic power plants were reluctant to restock given their high stockpiles and customs clearance issues im

9 Chinese thermal coal extends strength; demand for Shanxi coal up 2019-02-14

Chinese domestic thermal coal market kept gaining strength from growing demand for Shanxi premium cargoes, which also helped push up prices in other coals. On February 13, the Fenwei CCI

10 China Coal Daily Track (Feb 13) 2019-02-13

Thermal coal Domestic market Production area Affected by low work resumption of downstream enterprises, miners in Shaanxi's Yulin started lowering their prices, which was also partly ass

Scan to download sxcoal.com mobile APP

X