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Politico: Brussels and Washington are in negotiations to establish a joint tariff zone targeting steel and aluminum imports from non-market economies like China. Under the proposed deal, the EU and the U.S. would impose a 25% tariff on steel and a 10% tariff on aluminum from such economies. The objective is to form a ‘metals club’ of like-minded nations that will discourage trade in carbon-intensive steel and counter countries pouring subsidies into these sectors. This move is intended to resolve the transatlantic dispute over steel and aluminum that originated under former U.S. President Donald Trump. The plan aims to present a united front against China and encourage sustainable metal production globally.
European Commission President Ursula von der Leyen aims to present a united front with the U.S. against China, especially as she and European Council President Charles Michel are scheduled to meet U.S. President Joe Biden soon. However, the proposed deal has sparked concerns among EU member states, who feel they have been sidelined in the talks. Additionally, the proposal could face legal challenges at the World Trade Organization from steel-producing countries. The deadline for finalizing the deal has been pushed back to January 1, with both parties struggling to align their views fully.
The entire article can be read at the link https://www.politico.eu/article/steel-aluminum-tariffs-european-union-united-states-china-imports-trade/
