Washington: US President Donald Trump has announced plans to impose 25 per cent tariffs on all steel and aluminum imports coming into the United States "without exceptions or exemptions," raising concerns over its ramifications on exporters around the world.
Trump signed two proclamations regarding the sweeping tariffs, while affirming a plan to announce "reciprocal" tariffs "over the next two days" -- duties on U.S. imports designed to match tariff rates that other countries impose on U.S. exports.
During his first term, Trump imposed a 25 percent tariff on steel imports and 10 per cent on aluminium imports on national security grounds. The new measures will remove exceptions, exemptions and duty-free quotas for U.S. trading partners, while raising the tariff on aluminium to 25 percent. They are set to take effect on March 4.
"Today, I am simplifying our tariffs on steel and aluminium so that everyone can understand exactly what it means. It's 25 percent without exceptions or exemptions, and that's all countries, no matter where it comes from," Trump told reporters as he signed the documents.
"If it's made in the United States, there is no tariff. All you have to do is make it in the United States. We don't need it from another country," he added.
Announcing what he cast as "massive" tariffs," Trump claimed that America was "being pummelled by both friend and foe alike."
"Our nation requires steel and aluminum to be made in America, not in foreign lands. We need to create in order to protect our country's future resurgence of U.S. manufacturing and production, the likes of which has not been seen for many decades," he said.
"It's time for our great industries to come back to America ... This is the first of many.” Asked about what the president plans to do if other countries retaliate, Trump said, "I don't mind.
"If they retaliate, as I said, it's reciprocal," he said. "If they raise it a little bit, then we raise it automatically. So I don't think it helps for them to retaliate."
Trump also warned that his administration is looking into the possible imposition of tariffs on cars, semiconductors and pharmaceuticals, among other items. "Cars are going to be a very big one and a very important one, and America is going to be stronger than it ever was before," he said.
Trump has already imposed a 10 percent tariff on all Chinese goods coming into the U.S., while he has paused the imposition of a 25 per cent tariff on Canada and Mexico temporarily as the two countries agreed to step up efforts to prevent drug trafficking at their borders with the U.S.
Hike in US steel tariffs offers opportunity for IndiaNew Delhi: The Trump administration’s hike in tariffs on steel imports coming into the US from countries such as Canada, Brazil, the EU and Asian suppliers like Japan and South Korea could cut both ways for India’s domestic steel industry, according to an ICRA report. While, on the one hand, they may open up a portion of the US market for India’s steel exports, on the other hand, the surplus steel produced by Japan and South Korea may be diverted to the Indian market where they will depress prices and hurt the domestic industry, the report points out. The report states that deliveries of about four million tonnes per annum (mtpa) to the US from Asian suppliers like Japan and South Korea, which till now had preferential market access, could be partly bounced off to high-growth markets like India. Already, these two countries rank among the top three steel exporters to India, accounting for 40-55 per cent of India’s overall finished and semis steel imports. |
