U.S. faces backlash over new steel and aluminum tariffs
President Donald Trump's tariffs on steel and aluminum imports spark retaliatory measures from Canada and the European Union, impacting U.S. businesses and consumers.
President Donald Trump's tariffs on steel and aluminum imports spark retaliatory measures from Canada and the European Union, impacting U.S. businesses and consumers.
President Donald Trump's tariffs on steel and aluminum imports spark retaliatory measures from Canada and the European Union, impacting U.S. businesses and consumers.
President Donald Trump's new tariffs on steel and aluminum imports have triggered a multi-billion dollar trade conflict with key U.S. allies.
"We have been abused really for a long time. And we will be abused no longer," President Donald Trump said Wednesday while discussing 25% tariffs on steel and aluminum imports.
"We鈥檙e going to take back our wealth, and we鈥檙e going to take back a lot of the companies that left," President Trump said.
In response, Canada and the European Union have imposed their own tariffs on U.S. products.
"At the end of the day, what we want is for the Americans to back off," Canadian Minister of Foreign Affairs M茅lanie Joly said.
Canada, the largest supplier of steel and aluminum to the U.S., has imposed over $20 billion in retaliatory tariffs on U.S. products, including computers, farm equipment, and cast-iron products.
The European Union has also imposed a $28 billion tax on U.S. exports, targeting goods from home appliances to agricultural products.
"The European Union must act to protect consumers and business. The counter measures we take today are strong, but proportionate," European Commission President Ursula von der Leyen said.
U.S. businesses in affected industries, such as Cotton and Reed Rum Distillers in Washington, D.C., feel the impact of the escalating trade war.
"I think we are kind of collateral damage to the broader disputes," CEO of Cotton and Reed Rum Distillers Jordan Cotton said.
Cotton says some small distilleries are still recovering from the last trade war when "exports fell by 88% from 2016 to 2018."
Experts warn that U.S. families could also face higher prices due to the tariff war.
"If my costs are going up, then I'm going to have to pass that along the chain," Jack Pine Brewery Founder Patrick Sundberg said.
Tomorrow, two Canadian ministers will travel to Washington, D.C., to discuss the recent trade war with Commerce Secretary Howard Lutnick.
Inflation cooled a bit last month, with prices rising 2.8% from a year ago, down from 3% in January. However, experts warn that tariffs could drive prices higher, especially for cars and groceries.
A U.S. trade report found that President Trump's first-term tariffs boosted jobs in the steel and aluminum industry, but the jobs lost in downstream manufacturers were greater than those gains.