Global trade war: US allies prepare to strike back

IANS  |  Brussels 

The tariffs imposed on and aluminium by US Donald Trump's administration prompted swift pledges of retaliation by its biggest allies and trade partners raising the prospect of a global

The new US tariffs on and aluminium were set to go into effect on Friday.

The US is playing a "dangerous game" by slapping tariffs on European steel and aluminium, EU's Trade said on Friday, warning that Washington's move would have consequences for the economic recovery of the EU, as well as American consumers, the reported.

The EU issued a 10-page list of tariffs on US goods ranging from motorcycles to bourbon. Malmstrom said the EU would challenge the move at the but that tariffs on US imports were necessary as "we cannot just take these tariffs and stay silent".

The said that despite the EU's "rebalancing" action, the two sides were not in a

"What we are in is a very difficult situation," Malmstrom said. This situation could only be defused by the US withdrawing its measures against the EU, she added.

Canadian said the US move was "totally unacceptable" and rejected the claim that his country posed a national security threat to

plans to impose tariffs of up to 25 per cent on about $13 billion worth of US exports from July 1. Goods affected will include some American steel, as well as such as yoghurt, whiskey and coffee.

The said that the US action was "not justified" and that it would retaliate with its own comparable penalties on US products including lamps, pork, fruit, cheese and

Trump claimed the tariffs would protect US steelmakers, which were vital to national security. French called him to tell that the tariffs were "illegal".

UK said the 25 per cent levy on steel was "patently absurd", adding: "It would be a great pity if we ended up in a tit-for-tat trade dispute with our closest allies".

said that it was willing to work with any country to promote multilateralism and economic growth, after the US measure which called "indiscriminate".

urged all countries to oppose the US measures and uphold an "open and transparent" international trade system with the at its centre.

--IANS

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First Published: Fri, June 01 2018. 20:00 IST