Cboe - Market News Story

Trump To Impose Steel, Aluminum Tariffs On Brazil And Argentina

Amit Nag      12/3/2019 6:02:06 AM

President Trump announced on Monday that the U.S. would put additional tariffs on steel and aluminum imports from Brazil and Argentina. The move could add new layers to the ongoing global trade war, according to The Wall Street Journal.

What Happened

President Trump accused the two countries of hurting American farmers through currency manipulation.

“Brazil and Argentina have been presiding over a massive devaluation of their currencies, which is not good for our farmers,” the president tweeted on Monday. “Therefore, effective immediately, I will restore the Tariffs on all Steel & Aluminium that is shipped into the U.S. from those countries.”

Back in 2018, President Trump imposed metal tariffs of 25% and 10% respectively on steel and aluminum imports from most countries but later exempted Argentina and Brazil from the US metal tariffs.

Not Official Yet?

The White House hasn't officially confirmed Trump’s words and hasn't clarified the decision.
Meanwhile, Argentina sees the move as “unexpected,” but their production ministry department wants to find a solution to this amicably through talks with the US officials.

Brazil’s initial reaction was almost similar. “Our economy basically comes from commodities, it’s what we’ve got,” said Brazil's President Jair Bolsonaro in an interview with Brazil's Radio Itatiaia. “I hope that he understands and that he doesn’t penalize us with this, and I’m almost certain he’ll listen to us,” he added.

Photo Credit: Shealah Craighead via Wikimedia