US President Donald Trump’s 25% tariffs on steel and aluminum imports took effect on Wednesday, prompting retaliation from the European Union.
The White House confirmed the tariffs, which will affect Canada, Australia, the European Union, and other countries, late Tuesday, but Trump clarified that he no longer plans to raise tariffs on metals imported from Canada to 50%.
The tariffs on steel and aluminum imports are part of Trump’s plan to build massive barriers around the US economy, steps he considers necessary to rebalance the global trading system.
This prompted the European Union to take swift countermeasures, announcing that it would impose tariffs on €26 billion ($28.33 billion) worth of US goods starting in April, with the aim of protecting European businesses, workers, and consumers from the impact of these unjustified trade restrictions.
In the latest development in the escalating trade war that has roiled markets in recent days, amid fears that tariffs could push the world’s largest economies into recession.
