European shock after extending the tariff exemption on steel and

The Europeans received a shock yesterday from US President Donald Trump's decision to extend temporary EU-Mexico-Canadian steel and aluminum temporary exemptions for a month after expectations of its cancellation, citing "prolonged uncertainty" in the markets without ending the trade standoff.
The White House said in a statement yesterday that it had decided to extend until June 1 an exemption that was supposed to expire on May 1, saying it remained "focused" on protecting US national security in the ongoing negotiations , According to "French".
However, the decision of Trump was not welcomed by the European Union, and the European Commission said in a statement yesterday, "The US decision lengthens the uncertainty that prevails in the markets and is reflected on the decisions of trade."
UNHCR stated that the European Union should be fully and finally exempted from such actions, because they could not be justified on grounds of national security.
"Negotiations with the United States will continue but we will not negotiate under threat," she said.
A German government spokeswoman said Germany had "taken note" of the decision to delay the imposition of fees, saying it was still "waiting for a permanent exemption of fees."
For its part, Europe has set punitive tariffs on US imports, including famous Harley-Davidson motorcycles, jeans and some drinks, but at present negotiations will continue.
Britain, the EU's second-largest economy, welcomed the "positive" decision but cautioned against more protectionist measures by the White House.
"We remain concerned about the impact of these duties on world trade and will continue to work with the EU to find a multilateral solution to the problem of excess production capacity as well as to manage the impact on domestic markets," a government statement said.
Trump said yesterday, "The necessary and appropriate ways to address the problem of national security caused by imports of minerals is to continue those talks and the extension of exemptions granted to those countries."
The United States also said it had completed a trade deal with South Korea that included several concessions made by Seoul, including the extension of pickup fees and the reduction of steel exports.
A White House statement that Washington has "agreements in principle" with Argentina, Australia and Brazil "will complete its details soon."
"In all of these negotiations, the administration is focusing on reducing exports of steel, which would restrict imports, prevent recharges and protect national security," the statement said.
Trump's management had told its trading partners that they had to make concessions, but the EU insisted it would not negotiate before first a permanent exemption.
The extension of the exemption to Canada and Mexico is expected, while Mexico, Ottawa and Washington have been renegotiating the North American Free Trade Agreement (NAFTA).
Canada's steel and aluminum exports to the United States last year were $ 12 billion and Mexico's exports were $ 3 billion.
The European Union's three biggest economic powers - Britain, France and Germany - held Sunday's crisis talks. The French presidency later said: "It agreed that the EU should be ready to act if Washington goes ahead with the imposition of fees."
"We will not negotiate under threat," the European Commission said in a sharply worded response to the extension of the 30-day exemption.
"Any future work program between the two sides of the Atlantic must be balanced and mutually beneficial," the statement said.
Last year, the EU exported more than $ 7.7 billion worth of steel and steel to US markets.
The FTSE 100 index on the London Stock Exchange rose 0.1 percent to 75,124 points at the opening of the market yesterday, amid the close of the Paris and Frankfurt stock exchanges due to holidays.
For his part, sees German Economy Minister Peter Altmeyer that the conclusion of agreements aimed at reducing tariffs is possible in light of the trade dispute with the United States of America, according to "German."
"I have always expressed the hope that we can achieve a reduction in tariff barriers worldwide," Altmeier said yesterday in Berlin.
"It must also be possible with the United States within the framework of a just agreement," he said, stressing that a lasting solution was needed.
He noted that this may be less ambitious and comprehensive than was available in the transatlantic trade and investment partnership agreement, which has now frozen.
The extension was announced less than four hours before the end of the previous period in March.
As of early next month, there will be another period of time for negotiations between Washington and Brussels.
Altmeier stressed that EU trade ministers should now coordinate among themselves. "We will decide together whether these negotiations will take place or not and decide on their timing," he said.
Commenting on the US preferred import ceilings, the German Economy Minister said: "The EU has always made it clear that it is not convinced of arbitrary ceilings," especially since such a thing is never in line with WTO regulations. EU countries are achieving a permanent exception of US punitive tariffs.

Share this post