PresidentΒ Donald TrumpΒ says that he willΒ double his planned tariffs on steel and aluminumΒ from 25% to 50% for Canada, escalating a trade war with the United Statesβ northern neighbor.
Trump says the increase of the tariffs set to take effect on Wednesday is a response to the price increases that the provincial government of Ontario put on electricity sold to the United States.
American manufacturers that use aluminum and steel are already paying more for these metals than competitors in Europe. This is even before President Donald Trump’s import duties on these materials have come into effect.
The difference with European factories amounts to tens of percent, according to financial news agency Bloomberg. Manufacturers who want to buy aluminum in the United States at current market prices pay about 23 percent more for this than in Europe. Steel is 40 percent more expensive.
These higher prices are the result of the larger stocks that aluminum and steel consumers want to build up in the run-up to the duties, which should go into effect on Wednesday according to a decision by Trump. This involves a tariff of 25 percent on all aluminum and steel entering the US.
