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Donald Trump said that he would impose prices of 25% on Monday on all imports of steel and aluminum, expanding his commercial conflicts to the metal sector in a new burst of protectionism against Washington.
The American president made this announcement during a briefing with journalists when he stole from his Mar-A-Lago domain in Florida to attend the Super Bowl in New Orleans on Sunday evening.
In addition to measures on steel and aluminum products, Trump said he would later have new reciprocal prices targeting imports from a wide range of countries that impose samples from US exports.
The prices promised on steel and aluminum come while Trump launched his second mandate with an aggressive trade policy that has shaken the world money markets, aroused fears of a refreshment of American inflation and targeted the largest American trade partners.
Trump last week came in the hours following 25% of prices on imports from American neighbors in Canada and Mexico, to offer them a 30 -day stay. But the administration continued its advance with 10% prices on Chinese imports, which sparked Beijing reprisals that took effect on Sunday.
Canada, China and Mexico are the largest exporters in the United States of steel and aluminum products, but the samples offered by Trump would potentially trample the countries of Brazil to Germany via Korea from the Korea South.
Metal import prices have been defended by certain American unions as well as among national producers, but they may increase the costs of inputs for a wide range of American manufacturers. In 2023, the United States imported $ 82.1 billion in steel and iron and $ 27.4 billion in aluminum, while exporting $ 43.3 billion in steel and iron and 14.3 billions of aluminum dollars.
Responding to Trump’s promise of fresh steel and aluminum prices, the European Commission said: “We will react to protect the interests of European companies, workers and consumers against unjustified measures”, adding that it had Received no official notification from the United States of New Reads.
Trump targeted the metal industry during his first mandate, imposing a 25% rate on steel and 10% on aluminum, before subsequently granting exemptions to several business partners, including Canada and Mexico.
According to Trump’s promise of new prices, the dollar increased by 0.3% on Monday against a basket of currencies, including Euro, Yen and Book. Aluminum exchanged on the London Metal Exchange increased by 0.5% to $ 2,633 per tonne.
South Korean Steelmakers Actions Hyundai Steel and Posco Holdings fell 2% and 0.8%, underperformant of the Kospi reference index respectively.
The Ministry of Industry, from the Trade and Energy of Seoul held an emergency meeting with the leaders of the steel industry on Monday while they were running to find more details. “We will actively respond to minimize the impact on our businesses,” he said.
Australian Prime Minister Anthony Albanese said that companies in his country “have significant investments in (the American steel industry creating thousands of jobs in the United States and Australia.”
“We will continue to plead in favor of the national interest of Australia to the American administration,” said Albanese.
The steel industry has always been a lightning rod for trade tensions, several nations last year introducing taxes against imports. The United States has tripled its Chinese steel prices last year, while the EU launched an anti-dumping survey on steel products coated with Chinese tin. Mexico and Brazil have also raised prices.
Trump’s latest commitment arises while the White House has committed to blocking the takeover by US Steel of Nippon Steel after Joe Biden’s decision to do the same.
But Trump said that he would work on the authorization of a significant investment, but not a majority participation, in the producer based in Pennsylvania by his Japanese rival, and insisted that the prices would help. “The prices will succeed (US Steel). And I think it has good management, “said Trump.
The actions of Japanese Steel dropped by 0.4% in Tokyo on Monday.
Trump did not say exactly how much he intended to apply the reciprocal rates he promised to announce in the coming days.
“Very simply, if they charge us, we charge them,” he said.
Additional Sam Learner reporting in New York, Arjun Neil Alim in Hong Kong, Nic Fille in Melbourne, Song Jung-A in Seoul and Sylvia Pfeifer in London
