US threatens more tariffs if EU and Canada retaliate on trade

(CLO) US President Donald Trump on Wednesday threatened to impose more tariffs on goods from the European Union (EU), as major US trading partners vowed to retaliate against the trade barriers he has imposed.

Just hours after the 25% tariff on all US steel and aluminium imports took effect, Mr Trump said he would impose further sanctions if the EU followed through with plans to impose retaliatory tariffs on some US goods next month. “Whatever they tax us on, we’re going to tax them on,” Mr Trump told reporters at the White House.

US President Donald Trump. Photo: White House

Canada, the largest supplier of steel and aluminum to the United States, announced retaliatory tariffs of 25% on those metals along with $20 billion worth of computers, sports equipment and other products. Canada had previously imposed tariffs on a similar amount of American goods in response to Mr. Trump’s broader tariffs.

“We will not stand idly by while our iconic steel and aluminum industries are unfairly targeted,” Canadian Finance Minister Dominic LeBlanc said. The Bank of Canada has also cut interest rates in preparation for economic disruption.

The 27-nation European Union (EU) is less affected, as only a “small fraction” of the targeted products are exported to the US, according to Germany’s Kiel Institute. Meanwhile, the EU’s retaliatory measures would target up to $28 billion worth of US goods such as dental floss, diamonds, bathrobes and bourbon.

European Commission President Ursula von der Leyen said the bloc would resume talks with US officials. “Tariffs like this are not in the common interest of our economies,” she said.

China's Foreign Ministry said Beijing would defend its interests, while Japanese Cabinet Secretary Yoshimasa Hayashi said the move could have a major impact on US-Japan economic relations.

Close US allies such as the UK and Australia criticized the sweeping tariffs but ruled out immediate retaliation. Brazil, the second-largest steel supplier to the US, said it would not retaliate immediately.

Cao Phong (according to Forbes, Politoco, Investing)

Source: https://www.congluan.vn/my-de-doa-ap-them-thue-neu-eu-va-canada-tra-dua-thuong-mai-post338301.html