US and UK in joint talks to resolve tariff disputes between steel and aluminum


At a joint virtual meeting on January 20, US and UK representatives agreed to resolve a trade dispute over US tariffs on steel and aluminum.

American representatives are keen to eliminate taxes on British metal imports.

In March 2018, the Trump administration imposed a 25% tariff on foreign steel and a 10% tariff on aluminum under Article 232 of the National Security Act, calling it a threat to US national security in the United Kingdom and Europe. , And other long-time people. An ally of the United States.

US Secretary of Commerce Gina Raimondo, US Trade Representative Katherine Tai, UK Trade Minister Anne-Marie Teverian Announced at They are Not only will the steel and aluminum industries of both countries be guaranteed to survive, but they will also be working towards a swift deal that “strengthens the Democratic Alliance.”

The specific dates and schedule of the talks have not been announced, but they will address “the world’s steel and aluminum overcapacity, including US tariffs,” for metal imports from the United Kingdom.

“The parties are committed to working towards rapid results that guarantee the survival of the steel and aluminum industries in both markets,” said the trade representative.

“Our focus is on quickly raising these tariffs and reaching a swift solution that paves the way for the growth of prosperous trade relations,” said a spokesman for the UK Department for International Trade.

“We will continue to apply rebalancing measures to US products and do not hesitate to take the necessary steps to protect the critical steel and aluminum industries until the transaction is completed,” said a spokesman.

The talks will also cover the UK’s 25% retaliatory tariffs on US products such as whiskey, motorcycles, blue jeans and cigarettes.

According to the US Council for Distilled Liquors, which welcomed the announcement, annual exports of US whiskey to the UK have fallen by more than half since 2018.

Chris Swonger, President of the Distilled Spirits Council, called the January 19th talk “a very positive development.”

Last October, the United States reached an agreement with the European Union to reduce tariffs on EU metals below the new import quota and continue to tax imports above it.

In response, the EU has reduced retaliatory tariffs on US products, including whiskey.

The United Kingdom expects the United States to give the EU similar treatment.

However, many U.S. steelmakers disagree with negotiations as a similar deal with Japan flooded the U.S. domestic market last year with a surge of nearly 50% in foreign imports. ..

“We believe it is essential that the various new agreements the government is considering do not cause a flood of imports,” Kevin Dempsey, chairman of the American Iron and Steel Institute, told Reuters.

Another skeptics, Philip Bell, chairman of the Steel Manufacturers Association, told Reuters that UK steel production is “very export-oriented,” not owned by the UK, and in fact. Said that China and India dominate.

“The US government needs to support countries that are concerned about additional alternatives that will lead to higher steel imports and have not promised free and fair trade,” Bell said in a statement.

Meanwhile, critics of steel and aluminum tariffs say that the dispute between the two allies is facing real American metal producers who came from communist China, which is flooding the world market with cheap steel. He said it was of little help in dealing with the threat.

The United States has already banned most Chinese imports of steel and aluminum.

The United States and the United Kingdom have discussed China’s overproduction and have promised to “seek clarification from countries that are practicing harmful market distortion policies.”

The US-EU joint agreement, which came into effect on January 1, also addressed concerns about China’s dumping of steel and aluminum.

Brian Jung

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Brian S. Jung is from New York City and is a resident with a background in the political and legal industry. He graduated from Binghamton University.