The tariffs on steel from the UK and EU, imposed by US President Trump will cost the USA dearly in jobs, Caroline Flint has warned Parliament.
During a Commons Statement by Trade Secretary, Liam Fox, Caroline told the Minister:
“The last time there was a trade war like this, some 200,000 jobs were lost in the United States. What efforts has he made to identify and analyse the impact on the US economy? It seems to me that this is the biggest argument we can use.”
Mr Fox replied “I hope that our colleagues in Congress will listen to the views being expressed on both sides of the House.”
Speaking after the exchange, Caroline said: “In an attempt to tackle the dumping of Chinese steel on the world markets, the US President has imposed tariffs to make everyone’s steel 25% more costly; and aluminium 10% more costly.
“The UK accounts for just 1% of all steel imported by the USA; and 0.1% of their aluminium imports. What is more, the steel the UK sells to the USA is high quality steel used in manufacturing – steel they do not produce. This decision makes no sense – and the retaliation from the EU countries and the UK will only cost the US lost exports. I hope the US President can be persuaded to change course.”
In 2017, 7% of UK steel was exported the USA, worth £390million. Aluminium exports were worth £29million. The steel and aluminium industries support 37,500 jobs. The European Union has already filed a dispute with the World Trade Organisation, whose rules govern the terms of trade between nations.
Watch Caroline's question HERE.