Republicans rebuff Trump on new tariffs

The Trump administration announced Thursday that it will impose tariffs on steel and aluminum imports from Europe Mexico and Canada. Trud

Republicans rebuff Trump on new tariffs

Donald Trump's decision to hit European Union steel and aluminium imports to the USA with tariffs is "unjustified", Theresa May has said.

Trump's latest move amounts to "blackmail" in the NAFTA renegotiation, although it doesn't kill chances of carving out a deal, said Perrin Beatty, president of the Canadian Chamber of Commerce and a veteran of Canada's free trade battles.

Mr Trump responded to this on Twitter, writing: "Canada has treated our agricultural business and farmers very poorly for a very long period of time".

"It is undecided at this moment, but we are considering it", Aso told reporters when asked about the possibility of a WTO action against the USA levies which Washington claims are necessary for national security.

Trump's antagonistic trade policies - and specifically the steel and aluminum tariffs - drew global denunciation.

Trudeau also said Canada will challenge the US measures at the World Trade Organization and under the North American Free Trade Agreement, a pact that now looks in danger of dying because Trump views it as unfair.Trudeau's politics and worldview might not align with Trump's, but he was among the first world leaders to congratulate the USA president on his election victory, noting Canada has "no closer friend, ally, and partner than the United States".

"Now that we have clarity, the EU's response will be proportionate and in accordance with [World Trade Organization] rules".

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Germany's Volkswagen, Europe's largest carmaker, warned that the decision could start a trade war that no side would win. Opponents of the tariffs on European and North American metals say the administration is hurting allies when it needs them most to put pressure on Beijing. "Any government that embarks on a protectionist path inflicts the most damage on itself".

Canada, the largest supplier of steel to the United States, said it will impose tariffs covering C$16.6 billion (US$12.8 billion) on U.S. imports, including whiskey, orange juice, steel, aluminum and other products.

"When these tariffs go into effect on Friday, trains arriving to the United States from Mexico and Canada will be carrying metals that are 25 percent more expensive than when they left the station just a few days ago", the council said.

British Prime Minister Theresa May said she was "deeply disappointed" and reiterated a call for Britain and the European Union to be "permanently exempted" from the "unjustified" metals tariffs. "Our absolute view is - this is absurd to think that Canada could in any way be a national security risk to the United States".

In retaliation for the tariffs imposed on Canadian steel and aluminum, Trudeau announced Thursday that Canada will impose $16.6 billion worth of "countermeasures" that hit a range of USA products, from flat-rolled steel to playing cards.

All six of the other G7 countries are now paying the tariffs, which are largely aimed at curbing excess production in China. It is pure protectionism.

The EU earlier threatened to counterpunch by targeting US products, including Kentucky bourbon, blue jeans and motorcycles.

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China has threatened to hit back with tit-for-tat tariffs on tens of billions of dollars in U.S. goods - as have Canadian, EU and Mexican authorities.

Mexico and Canada are the state's two biggest trading partners.

Mexico retaliated nearly immediately against U.S.

"We look forward to continued negotiations, both with Canada and Mexico on the one hand, and with the European Commission on the other hand, because there are other issues that we also need to get resolved", US Commerce Secretary Wilbur Ross said.

The Canadian government released two lists of USA products, proposing a 25 per cent tariff on the first list and 10 per cent on the second.

"Plans by United States manufacturers to expand will be put on hold indefinitely", Nathanson said. "They're our allies but they take advantage of us economically".

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