What economic thinking went into the Trump tariffs announced last week?
"We are strong advocates for fair trade", said Kalyan Ghosh, chief executive officer of Essar Steel Algoma Inc.
When Trump announced Thursday that he was slapping tariffs of 25 percent on imported steel and 10 percent on aluminum, he temporarily exempted big steel producers Canada and Mexico - provided they agree to renegotiate a North American trade deal to his satisfaction. Chinese officials - who have been studying curbs on US products such as soybeans according to past reports - were otherwise largely quiet on the tariff question Wednesday.
In Michigan, those most impacted include automakers, the craft beer industry - companies like Founders Brewing Co. - and also furniture makers like Steelcase, which said in a statement that the tariffs will have "negative and unintended consequences". "We will be going to be doing a lot of them", he said. "Retaliatory actions would especially harm agricultural businesses in New Mexico and will only increase costs on consumers".More news: Instagram, Snapchat suspend GIFs after racist GIF found in library
Experts alike are more concerned now about how other countries might respond to the tariffs. "Then all bets are off", Isely said.
A clause in the WTO rules allows countries to apply tariffs if national security is at stake.
The threat of a trade war is a major concern of lawmakers, too.
"Today's announcement excluding Canada from the Section 232 tariff recognizes the importance of our trade relationship with the US and ensures our highly integrated supply chain can continue unimpeded", Ghosh said. Gary Peters, D-Bloomfield Township, told 24 Hour News 8 Friday. Several spoke of how excessive "dumping" of steel and aluminum imports had negatively affected their jobs and families. The Chinese need to be held accountable. "But you have to do it in a thoughtful way". Vice Foreign Minister Zhang Yesui said this week that China will host talks on trade issues with US officials. "That has definitely been an issue".
The process of announcing the penalties has been the subject of an intense debate and chaotic exchanges within the White House, pitting hard-liners against free trade advocates such as outgoing economic adviser Gary Cohn aiming to add more flexibility for US trading partners.More news: Newell Brands Inc (NWL) Shares Sold by State of Wisconsin Investment Board
Trump's official proclamations say that "any country with which we have a security relationship" is invited to discuss "alternative ways" to address the security risks of steel and aluminum imports, a process that could lead to other countries being excluded.
Trump said the "unfair" foreign trade practices were not merely an "economic disaster" but a "security disaster" and by signing the two proclamations he was defending America's national security.
Q: When do the tariffs take effect?
The president was surrounded by steel and aluminum workers as he explained his decision at a White House ceremony.
"We will continue to advocate for a timely resolution with the steel caucus and the federal government", the Algoma CEO said.More news: US Bancorp (USB) Receives $57.81 Average Target Price from Analysts
Simard was in Kitimat in June past year to present a state of the aluminium industry report to Kitimat Chamber of Commerce members. We have to protect the American worker, as I said I would do during my campaigns, ? he said. "Rest assured, as the administration works to move forward their tariff package, I will be a vocal advocate for actions that benefit New Mexico businesses". "In this instance, and with these particular tariffs, we do not believe that will be the result".