White House to Lift Steel, Aluminum Tariffs on Canada, Mexico

May 17, 2019 by Dan McCue

President Donald Trump revealed Friday that his administration has reached an agreement with Canada and Mexico to lift tariffs on steel and aluminum, ending a standoff that threatened to derail ratification of the president’s new North American trade agreement.

Speaking before the National Association of Retailers in Washington, D.C. Friday morning, the president said, “I’m pleased to announce we’ve just reached agreement with Canada and Mexico. We’ll be selling our product into those countries without the imposition of tariffs.”

He went on to say the deal “is going to be a fantastic deal for our country.”

“Hopefully Congress will approve the USMCA quickly and then the great farmers, and manufacturers and steel plants will make our economy even more successful than it already is, if that’s possible,” the president said.

The USMCA is the United States Mexico Canada trade agreement that Trump wants to replace the two-decade old NAFTA agreement.

In a joint statement Friday afternoon, the Canadian government said that the two countries had reached an agreement for American tariffs to be lifted on Canadian steel and aluminum imports by Sunday, and that Canada would lift retaliatory tariffs at the same time.

Instead of tariffs, the nations would set up a system for monitoring and enforcement in case of import “surges.”

“In the event that imports of aluminum or steel products surge meaningfully beyond historic volumes of trade over a period of time, with consideration of market share, the importing country may request consultations with the exporting country,” the statement says.

“After such consultations, the importing party may impose duties of 25 percent for steel and 10 percent for aluminum in respect to the individual product(s) where the surge took place,” the statement continues. “If the importing party takes such action, the exporting country agrees to retaliate only in the affected sector.”

Agriculture and business groups had been pushing for the lifting of the steel and aluminum tariffs for months, arguing that retaliatory measures Canada and Mexico imposed on their products were causing unnecessary pain for farmers, ranchers and small businesses in the U.S.

The decision to ease the 25 percent tariffs on steel and 10 percent tariffs on aluminum comes on the heels of the White House announcing a six-month delay in determining whether to impose levies on foreign automobiles.

Trade

Subcommittee Assignments Give Murphy Strong Voice on National Security, COVID-19 Relief, and Trade
Congress
Subcommittee Assignments Give Murphy Strong Voice on National Security, COVID-19 Relief, and Trade
February 9, 2021
by TWN Staff

WASHINGTON - Rep. Stephanie Murphy, D-Fla., has been named to four subcommittees that will ensure she's a leading voice on national security, the continuing federal response to COVID-19, and international trade. The Winter Park Democrat is the only Florida Democrat who currently serves on either the... Read More

Trade Rep Designee Says Cooperation, Bipartisanship Key to Competing with China
Trade
Trade Rep Designee Says Cooperation, Bipartisanship Key to Competing with China
January 12, 2021
by Dan McCue

WASHINGTON - Katherine Tai, President-elect Joe Biden's designee to be the next U.S. trade representative, told a virtual gathering of trade professionals Tuesday that if the U.S. is going to successfully compete against China on the world stage, it's going to take a renewed sense of... Read More

UK Warns of 'Bumpy' Post-Brexit Transition Despite Deal
Brexit
UK Warns of 'Bumpy' Post-Brexit Transition Despite Deal

LONDON (AP) — First came the Brexit trade deal. Now comes the red tape and the institutional nitty gritty. Four days after sealing a free trade agreement with the European Union, the British government warned businesses to get ready for disruptions and “bumpy moments” when the... Read More

Senate Debates Tactics to Make America More Competitive with China
Trade
Senate Debates Tactics to Make America More Competitive with China
December 17, 2020
by Tom Ramstack

WASHINGTON -- The U.S. Senate continued a hardline crackdown on China Wednesday during a hearing on how to ratchet up American economic competitiveness. Economic advisors repeated warnings that the U.S. government needs to create more incentives for domestic industries that are lagging behind Chinese competitors. Otherwise,... Read More

Facebook Sued by US, States in Antitrust Case
Business
Facebook Sued by US, States in Antitrust Case

WASHINGTON — Facebook Inc. was sued by U.S. antitrust officials and a coalition of states that want to break up the company by unwinding its acquisitions of Instagram and WhatsApp, deals the government says was part of a campaign to illegally crush competition. The Federal Trade Commission and state attorneys general led by New York said... Read More

Ways and Means Aide Katherine Tai Said to be Biden's Choice for Trade Representative
Trade
Ways and Means Aide Katherine Tai Said to be Biden's Choice for Trade Representative

WASHINGTON — Katherine Tai, chief trade counsel for the House Ways and Means Committee, is reported to be President-elect Joe Biden's nominee to be America's trade negotiator. Tai would lead the Office of the U.S. Trade Representative, an agency she knows well from her committee work as well as from the seven... Read More

News From The Well
scroll top