Published: Tue, March 13, 2018
Science | By Hubert Green

Tariffs will be lifted once new NAFTA deal signed

Tariffs will be lifted once new NAFTA deal signed

President Trump vowed to tax European cars if the EU retaliates against his plans to tax imported steel and aluminum.

Sen. John Thune, a South Dakota Republican who's a member of GOP leadership, told reporters Monday night that Republicans are still looking at what legislative recourse they have to stop Trump's action on trade, but first they are trying to convince him not to go through with it. More steel imports come from our allies - Canada, Japan and South Korea. The tweet came after news media reported that Brussels was considering putting a 25 percent tariff on U.S. imports, and European Commission head Jean-Claude Juncker said they would target "Harley-Davidson, bourbon and blue jeans".

Trump on Thursday announced an imposition of 25% and 10% tariffs on imported steel and aluminium respectively from any other country. The list of US goods on which the European Union intends to apply its own 25 percent tariff sends a political message to Washington about the potential domestic economic costs of making good on the president's threat.

"We have had a bad deal with Mexico". "Our jobs have left our country".

The latest round of a almost year-long NAFTA renegotiation effort is concluding this week in Mexico City and Mr Trump's comments and tweets earlier in the day suggested he was also using them as leverage in the current talks.

He insisted that it must be made more fair and threatened to end NAFTA if he doesn't get a better deal.

President Donald Trump suggested Monday that Canada and Mexico could be exempt from his proposed steel and aluminum tariffs if they agreed to a "new & fair" North American Free Trade Agreement.

Caterpillar and Boeing, two companies that would take hits if the tariffs led to a rise in steel prices, led the Dow on Monday.

Mexico's Economy Minister Ildefonso Guajardo in a tweet said the threat is "the wrong way to incentivise the creation of a new & modern NAFTA". "It actually didn't work, it protected inefficiencies, we lost all our export markets because our competitors who were more competitive went out and gobbled those up from us, and the auto industry had to go through a very, very painful restructuring to get to the success story it is now".

Trump administration officials frequently refer to the deficit in goods alone, excluding the offset from dominant United States services exports of things like banking and insurance.

Trump appeared unconcerned by fears of a "trade war" between various countries over his proposed tariff.

Repeating his concern about the USA trade deficit of $800 billion previous year, he said "the biggest problem is China".

USA stocks opened lower on Monday as investors remained concerned about the increasing likelihood of a global trade war.

28% said they agreed with the president's assessment.

Germany warned against protectionist measures, which it said "would inflict pain" on both sides of the Atlantic.

"A tariff meant to support USA industry may end up boosting margins and investment for a small subset of producers while leaving the broader economy at a disadvantage via higher costs".

The E.U. trade commissioner also weighed in with a threat to slap an import tax on a number of us goods, including Levi's jeans and bourbon.

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