European Union tariffs on U.S. goods come into force
22 June, 2018, 17:42 | Author: Manuel Hopkins
Brussels first drew up the list in March when Trump initially floated the 25 per cent tariffs on steel imports and 10 per cent on aluminum, which also target Canada, Mexico and other close allies.
European Commission president Jean-Claude Juncker said duties imposed by the U.S. on the EU go against "all logic and history". "The U.S.is abusing the tariff methods and starting trade wars all around the world".
The goods targeted include typical American products like bourbon, peanut butter, and orange juice, in a way that seems designed to create political pressure on U.S. President Donald Trump and senior U.S. politicians.
Mexico placed tariffs on American products ranging from steel to pork to bourbon two weeks ago.
"The woes the administration is inflicting on Chinese companies do not simply translate into boons for USA enterprises and the U.S. economy", the state newspaper said in an editorial headlined "Protectionism symptom of paranoid delusions".
"While average trade-weighted US -imposed tariffs on its imports are lower than those imposed by the EU, Canada, Mexico and China, the difference is marginal", he noted. China, India and Turkey have hit back with their own tariffs on USA imports.
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Most economists say the effect of higher worldwide import tariffs will drive up costs for consumers, offsetting much of the benefit of protecting domestic industries for the country imposing them.
Although American goods already in the United Kingdom will not increase in price overnight, shipments leaving the U.S. for Europe from Friday onwards will be charged the tariffs.
In trade wars, there tend to many casualties and few winners.
China is "fully prepared" to respond to any new list of U.S. tariffs, according to a commerce ministry spokesman, who said the nation will use a combination of quantitative and qualitative measures.
The White House last week announced plans to slap 25 percent tariffs on 1,100 Chinese goods, worth $50 billion in imports. The big trade conflagration, however, is with China. The United States' trade deficit with China past year was $376 billion, by comparison.
The world's most-powerful central bankers this week warned that escalating worldwide trade tensions have started damaging confidence among companies, threatening the global economic expansion.
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