President Donald Trump has said he will announce a 25 per cent import tax on all steel and aluminium entering the US, a move that will have the biggest impact in Canada.
Trump also said that there would be an announcement later in the week about reciprocal tariffs on all countries that tax imports from the US, but he did not specify which nations would be targeted, or if there would be any exemptions.
“If they charge us, we charge them,” Trump said.
The move marks another escalation in Trump’s trade policy, which has already sparked retaliation from China.
Canada and Mexico are two of the US’s biggest steel and aluminium trading partners.
The US accounts for about 10 per cent of the UK steel industry’s exports, but for some suppliers of speciality products it is much more important than that, making up a large proportion of their overall business.
Trade body UK Steel said any US tariffs would be a “devastating blow” to the UK industry.
Steel production in the US is heavily politicised. Some argue the country needs to be capable of producing enough high quality steel to supply its military in the event of a national emergency without relying on imports.
During his first term, Trump put tariffs of 25 per cent on steel imports and 10 per cent on aluminium imports from Canada, Mexico and the European
