Allies Warn of Trade War Risks as US Imposes Metal Tariffs
The United States faces mounting criticism from key allies after announcing steep tariffs on steel and aluminum imports, with Mexico, Canada, and the European Union leading the charge against measures they claim could destabilize global trade. The tariffs, set to take effect March 12, remove exemptions for countries like Brazil and South Korea while raising aluminum duties to 25% and maintaining 10% rates for some steel products.
Businesses Brace for Supply Chain Disruptions
US manufacturers warn the tariffs will ripple through supply chains, increasing costs for industries reliant on imported metals. 'This decision is not justified and unfair,' said Mexican Economy Minister Marcelo Ebrard, reflecting regional frustration. While retaliation specifics remain unclear, analysts predict strained trade relations as companies worldwide grapple with tariff-related uncertainties.
A New Chapter in Trade Policy
The move marks a sharp pivot from previous agreements, eliminating country-specific carve-outs and over 1.8 million tariff exclusions. With EU leaders vowing 'swift countermeasures' and businesses urging caution, the tariffs could reshape trade dynamics across G20 economies—particularly in automotive, aerospace, and renewable energy sectors where metal costs directly impact pricing.
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U.S. tariffs on steel, aluminum spark strong backlash across the world
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