Trump Sets Tariffs On Imported Metals, Car Makers Are Furious
All steel and aluminium imports to the US will be subject to punishing tariffs, the Trump White House has announced – and the auto industry is less than thrilled.
Following through on threats of a week ago, steel will be hit by 25 per cent levies; aluminium 10 per cent. The move came into effect just after midnight, Eastern Time, as temporary exemptions for ‘allied countries’ expired. The President is weirdly using an old piece of Cold War-era legislation that allows him to set tariffs if foreign imports ‘risk national security.’ That kind of argument seems tenuous at best.
This is a worldwide move, specifically including not just China, with whom the US has had a long and bitter feud over China’s deliberate flooding of the global market with cheap steel, but also Canada, Mexico and the EU.
All three of the US’s closest industrial allies have threatened to respond to tariffs in like kind, as well as lodging complaints with the World Trade Organisation. Toyota has, just months ago, stated that import tariffs would make US-built cars more expensive.
Meanwhile, the US automotive industry has issued a frustrated response. Ann Wilson, vice president of government affairs at the US Motor & Equipment Manufacturers Association, said:
“Tariffs on imported steel and aluminum [sic] will hurt the 871,000 Americans our members employ – the largest sector of manufacturing jobs in the U.S.
“Many speciality steel and aluminum [sic] materials imported by motor vehicle suppliers are used by hundreds of vehicle parts manufacturers operating in an integrated, complex global supply chain.
“Suppliers’ access to these specialised products – which are often only available from one or two sources in the world – is critical to the industry and our national economy.”
Source: Automotive News
Comments
Can I just say as an American, I don’t support him.
Amen. Remember this quote from him “The Germans are bad, very bad. They are selling millions of cars in america. Th american jobs will return. This evil will be stopped” German car companies employ over 15,000 people in my state, SC, alone….
Here’s an idea trump get the big 3 to make cars that can compete with the Germans cuz he’s still talking about taxing German cars. And I’m sure a guy who claims is really rich doesn’t have a rolls Royce which is owned by bmw but he’s too stupid to know that and apparently don Jr has a Bugatti which is owned by vw but again he’s an idiot
This tariff affects the Big 3 as well
He owns 3-6 MERCEDES limos… and of course at least one is wrapped in gold
Ok, now im angry
“Aluminum [sic]”….LMAO!!
American steel and aluminium production will gradually ramp up to fill the gap. 3 years from now this will be a non-issue.
That is completely ignoring of the heavy penalties other countries will impose down on the US in return in other sectors such as the bourbon or jeans industry. Just Canada alone has already retaliated with a 13 billion $ penalty already, and the EU is getting ready. Meanwhile China (who was the one dumping steel prices in the first place) is laughing
Lmao that gif was definitely not fair game haha. Don’t make fun of Jean-Claude.
Interesting take on the protectionism part. I do agree that it can potentially work short term.
However I find your take on the economic Union overly simplistic and a bit disingenuous. This stereotype that the EU is a vector to Germany to vampirize other countries is wrong ; if anything seeing as Germany is by far the biggest monetary contributor to the eu bidget (FR and UK don’t even come close), I’d say it’s quite contrary. Wha tus however true is that Germany has been profiting from the cheap labour in its neighbor countries , thus giving them harsh competition while assuring itself cheap labour, dice years. It’s what is sometimes called the German Commonwealth (aka Poland, Czechia, Slovakia etc), but that’s not inherently linked to the EU
*for years
Welp, im moving to canada then. More cars are legal and cars are cheaper. Plus free health care 😂
So he set the tariffs in order to get US car manufacturers to buy US metal right?…so what are the problems faced if US car manufacturers actually used more US metal?
So far all people complain about is how expensive it would be if we kept buying imported metal… but nobody talks about what the problems are if we switched to mostly domestic metal.
Elon Musk supports Trump on fair, reciprocal tariffs on cars!
http://www.foxnews.com/tech/2018/03/08/elon-musk-goes-on-twitter-tirade-over-trump-tariffs.html
You won’t hear that everywhere!
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