photo via USA Today
The Trump administration announced on Thursday, May 31st that it would impose tariffs on metal imported from a number of the U.S.’s closest allies including countries in the European Union, Canada, and Mexico.
Tariffs of 25 percent on steel and 10 percent on aluminum signal a strain on trade relationships between the U.S. and these countries. This news follows months of negotiations and previously imposed tariffs imported from China. These tariffs are set to go into effect at midnight, Thursday May 31st.
This news additionally seems to signal changing attitudes and ongoing strain throughout negotiations over the North American Free Trade Agreement (NAFTA). These tariffs are inspired by President Trump’s expressed goal of protecting American industry and workforce.
This move however has drawn significant backlash from various industries and businesses that use steel and aluminum, citing the possibility of increased costs, as overseas source will be harder to obtain.
European officials are expected to prepare retaliatory levies on imported American goods and products in June. Mexico additionally announced tariffs targeting flat steel, lamps, pork products and various types of foods on Thursday.
If more countries ramp up tariffs in reaction to these U.S. imposed tariffs, the impact on American goods could be extraordinary.
D’Alessio Law Group is closely monitoring this news and will provide updates as they become available.