Section 232 Tariff Battle Enters a New Phase
11/21/2018 - The international dispute over the Trump administration’s Section 232 tariffs on steel and aluminum has ratcheted up, as opposing countries confirmed on Wednesday they will move to begin adjudication proceedings, the Reuters news service reports.
Meanwhile, the Trump administration confirmed that it will move to begin adjudication proceedings of its own in response to retaliatory measures put in place by certain countries over the tariffs, Reuters said.
In a related front, nearly three dozen organizations representing a number of steel and aluminum users have sent a letter to U.S. Trade Representative Robert Lighthizer calling for an end to Section 232 tariffs – and to forgo any plans to impose quotas in lieu of tariffs – on steel and aluminum from Mexico and Canada.
“Section 232 tariffs on steel and aluminum (and the related absolute import quotas) have caused significant harm to American manufacturers, consumers and workers. They have raised costs significantly for a wide array of industries – including autos, machinery and equipment, chemicals, energy production, construction, medical devices, food products and household goods. This endangers the jobs of millions of workers in those industries, who collectively represent a far greater share of the American workforce than those who benefit from the restrictions,” the organizations wrote.
Earlier this month, American Iron and Steel Institute president Thomas J. Gibson wrote in support of the tariffs in a trade publication.
“The president’s trade actions are working. Foreign steel imports have decreased 20 percent from April — when the tariffs were enacted — until July, which is the most recently available final import data. And the trade actions are putting steel workers back to work. U. S. Steel has restarted facilities in Granite City, Illinois, which means 800 steel jobs,” he wrote.
“With the 232, the steel industry can be on track to maintain our essential contributions to national security and critical infrastructure, and we are grateful for the president’s continued recognition of the steel industry. And steel-using industries will benefit from having a stable supply of domestic steel,” he said.