Tariffs will be imposed by midnight.
The Trump Administration is refusing to extend the exemption from metal tariffs for Canada, Mexico, and the European Union.
As a result, tariffs on metals from US allies will go into effect starting at 12:01 am on Friday.
According to BNN Bloomberg, “U.S. Commerce Secretary Wilbur Ross said there wasn’t enough progress in discussions with the EU over trade concessions and Canada and Mexico on rewriting the North American Free Trade Agreement to give them permanent exemptions from the metals tariffs.”
The US is clearly using the tariffs as leverage in continuing NAFTA negotiations with Canada and Mexico, and trade fights with the EU.
The Trump Administration has complained about the tariffs imposed on US cars by the EU – along with other trade practices – with tariffs on US cars going into the EU at 10%, while tariffs on EU vehicles entering the US are just 2.5%.
However, Canada and the US have very balanced trade, with the US actually having a slight trade surplus with Canada. As a result, many have criticized the Trump Administration for lumping Canada in with other countries such as Mexico, China, and many EU countries with which the US has huge trade deficits.
The tariffs on Canadian Steel will be 25%, and 10% on Canadian Aluminum.
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