Apparently Trump has finally made a deal that he’s happy with regarding steel and aluminum tariffs with two of our geographically closest allies:
BLOOMBERG – President Donald Trump Friday said the U.S. will lift steel and aluminum tariffs on Canada and Mexico in a move that will help clear the way for ratification of the new Nafta.
The deal to lift tariffs takes effect no later than two days after the announcement, people familiar with the matter said.
Minutes before Trump’s announcement in Washington, Canada said in a joint statement that the U.S. would drop tariffs and Canada would drop retaliatory duties.
The move would lift the 25% steel and 10% aluminum tariffs the U.S. placed on the two trading neighbors almost a year ago in the name of national security. The decision sparked retaliatory duties from Canada and Mexico on U.S. farming goods and other products, and left the potential that lawmakers in all three nations wouldn’t ratify the new trade deal.
As part of the agreement to scrap the levies, the U.S. will be able to impose new tariffs on Canada and Mexico if they don’t do enough to prevent any surge of imports of the metals, the U.S. and Canada said in a joint statement Friday. The nations have also all agreed to ramp up efforts to trace where the metals have come from originally, to stop the diversion of shipments from other nations to dodge the tariffs.
Top Republicans are reacting to the news and they are quite happy about it:
Top GOPer on Ways/Means Brady: I applaud..Trump..for lifting tariffs on steel and aluminum from Canada and Mexico without burdensome quotas. Canada & Mexico..have taken significant steps to assure that..subsidized steel and aluminum from third countries will not surge into the US— Chad Pergram (@ChadPergram) May 17, 2019
Grassley on steel/aluminum tariffs: The biggest hurdle to ratifying USMCA has been lifted. This is great news for farmers..Iowa pork, soybean and corn farmers can breathe a sigh of relief that they will once again be able to sell their products in Canada & Mexico— Chad Pergram (@ChadPergram) May 17, 2019
Even Schmucky Schumer is happy about it:
Schumer on metal tariffs: It is a good thing these tariffs will be lifted, and we should urge our allies to join us in preventing China’s predatory practices. There are still many other issues that are outstanding before Democrats would support the USMCA.— Chad Pergram (@ChadPergram) May 17, 2019