Published 07:51 IST, August 7th 2020

Trump targets Canada, re-imposing tariffs on aluminum

President Donald Trump said Thursday that the United States is reinstating a 10% import tax on Canadian aluminum, raising tensions with an American ally just weeks after his trade pact with Canada and Mexico took effect.

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President Donald Trump said Thursday that United States is reinstating a 10% import tax on Canian aluminum, raising tensions with an American ally just weeks after his tre pact with Cana and Mexico took effect.

Trump originally imposed tariffs on aluminum imports in 2018. He n lifted m last year on Canian and Mexican metals to smooth way for US-Mexico-Cana Agreement, which replaced rth American Free Tre Agreement. USMCA took effect July 1 and was expected to bring stability to rth American tre.

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Inste, Trump declared Thursday that he is reimposing tariffs on Cana. Speaking at a Whirlpool plant in Ohio, president said that Cana h promised that “its aluminum industry would t flood our country with exports and kill all of our aluminum jobs, which is exactly what y did.”

Tre lawyer Daniel Ujczo with Dickinson Wright PLLC in Columbus, Ohio, predicted that Cana will retaliate with tariffs of its own — unless U.S. and Canian negotiators can reach a truce before tit-for-tat import taxes begin.

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Ujczo said tariffs appear designed to win Trump election year support from voters in Ohio, an industrial state. But tactic, he said, might t work during an ecomic crisis brought on by coronavirus pandemic.

“Voters here in Ohio were willing to give president a long leash on tariffs when ecomy was strong” and Trump was using sanctions as lever to get a rth American tre deal, Ujczo said. But “ dealmaker in chief alrey got his win with Cana and Mexico. se folks will see it as thing more than a political tool in a time of ecomic hardship.’’

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Aluminum imports from Cana rose sharply from February to March but have since leveled off and actually dropped 2.6% from May to June, according to Aluminum Association tre group.

“Claims of a ‘surge’ of primary aluminum imports from Cana are simply t accurate,” said Tom Dobbins, association’s president. He ded: “Especially w, U.S. should be focused on getting manufacturing ecomy going again in region – t picking battles with USMCA tring partners.’’

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07:51 IST, August 7th 2020