Finally the time comes to start to discuss and hopefully irradicate Donald Trump’s import taxes on British Steel and aluminium. In turn, the UK imposed tariffs back at the US on some good, such as whiskey.
In a statement on Wednesday, the U.K. Department for International Trade said: “Our focus now is on reaching a speedy resolution that lifts these tariffs promptly and clears the way for our thriving trading relationship to grow.″
Since President Biden has been in administration, they have already reached a deal with the EU. This is causing some steel manufacturers to consider actually moving their business to Spain, unless this issue can be resolved quickly.
Why was there a steel & aluminium import tariff imposed?
In 2018, Trump imposed tariffs of 25% on imported steel and 10% on imported aluminum, calling them a “threat to U.S. national security”, (known as Section 232 investigations). A decision that outraged industry not just in Britain but in Europe and the rest of the world.
What impact did the steel tax have?
The UK steel lobby welcomed the news. It said the existing tariffs had reduced UK exports by nearly 50%. American whiskey-makers also saw exports drop by around 50% since the UK imposed their tax.
The statement from the US and UK said joint measures to address over-production in China would be a focus of future discussions.