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Canada, EU vow firm response to Trump steel tariff
Donald Trump
International News, Latest News, News
February 11, 2025

Canada, EU vow firm response to Trump steel tariff

PARIS, France (AFP) -Canada and the EU vowed Tuesday to stand firm against US President Donald Trump’s move to impose tariffs on steel and aluminium imports — pushing Washington further towards a trade war with key global partners.

Trump signed executive orders to impose 25 per cent tariffs on steel and aluminium imports from March 12, triggering a flurry of reactions and promises to protect workers.

Such tariffs would be “entirely unjustified” and “Canadians will resist strongly and firmly if necessary”, Prime Minister Justin Trudeau said during a conference on artificial intelligence in Paris.

“Our response will of course be firm and clear,” Trudeau told AFP — with Canadian steelmakers warning of “massive” disruption from Trump’s move.

The European Union swiftly vowed to retaliate with “firm and proportionate countermeasures”.

EU chief Ursula von der Leyen will meet US Vice President JD Vance on Tuesday in Paris where they are expected to discuss Trump’s orders.

“The EU will act to safeguard its economic interests. We will protect our workers, businesses and consumers,” von der Leyen said in a statement.

EU trade ministers will discuss the 27-country bloc’s next steps during a meeting by video link on Wednesday, officials told AFP.

South Korea — the fourth biggest steel exporter to the United States, following Canada, Brazil and Mexico — vowed to protect its companies’ interests.

South Korean acting President Choi Sang-mok said Seoul would seek to reduce uncertainties “by building a close relationship with the Trump administration and expanding diplomatic options.”

The spokesman of British Prime Minister Keir Starmer said London was “engaging with our US counterparts to work through the detail” of the tariffs.

In Monday’s executive order, Trump said “all imports of aluminium articles and derivative aluminium articles from Argentina, Australia, Canada, Mexico, EU countries, and the UK” will be subject to additional tariffs.

The same countries are named in his executive order on steel, along with Brazil, Japan and South Korea.

“I’m simplifying our tariffs on steel and aluminium,” Trump said in the Oval Office. “It’s 25 per cent without exceptions or exemptions.”

 

– ‘Misguided path’ –

The tariffs also appear to indirectly target China, with the executive orders detailing how certain countries — particularly Mexico — were “using” their exemptions to get Chinese imports into the United States.

“Chinese producers are using Mexico’s general exclusion from the tariff to funnel Chinese aluminium to the United States through Mexico,” it said.

Trump has also signalled he would look at imposing additional tariffs on automobiles, pharmaceuticals and computer chips, and promised an announcement Tuesday or Wednesday on broader “reciprocal tariffs” to match the levies other governments charge on US products.

During his 2017-2021 presidency, he had imposed sweeping tariffs as he believed US industries faced unfair competition from Asian and European countries.

German Chancellor Olaf Scholz said the EU will present a united front to Washington, though “I hope that we are spared the misguided path of tariffs and counter-tariffs.”

French President Emmanuel Macron vowed in an interview aired Sunday to go head-to-head with Trump over his wider tariff threats against the EU.

Around 25 per cent of European steel exports go to the United States, according to consultancy Roland Berger.

“There is definitely no need to panic,” an EU diplomat told AFP, qualifying Trump’s tariff move as “stupid, but predictable.”

The diplomat voiced doubt, however, that “dialogue is enough”, saying the United States would most likely “expect gestures or ‘deals’.”

Britain’s steel industry body called the tariff plan a “devastating blow”.

 

– ‘No winner in trade war’ –

Trump has shown his determination to weaponise the United States’ power as the world’s largest economy, ordering tariffs on key trade partners China, Mexico and Canada soon after taking office.

He paused 25 per cent levies against Canada and Mexico for a month after both countries vowed to step up measures to counter flows of the drug fentanyl and the crossing of undocumented migrants into the United States.

But Trump went ahead with tariffs on China, the world’s second-biggest economy, with products entering the United States facing an additional 10 per cent levy.

Chinese retaliatory tariffs targeting US coal and liquified natural gas came into play Monday.

Chinese foreign ministry spokesman Guo Jiakun said “there is no winner in a trade war and tariff war.”

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Politics tariff trade
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