EU, Japan seek clarity from crunch USA trade talks

EU, Japan seek clarity from crunch USA trade talks

Australia will be exempt from the Trump administration's Section 232 tariffs on steel and aluminium imported into the United States.

"This is very important for the thousands of people who rely on these industries for work", Turnbull tweeted.

Trump and his trade officials have signalled in the past they are looking for more access to Canada's dairy market within a renegotiated NAFTA deal.

Trump said the tariffs, which will come into effect 15 days after he formally unveiled them Thursday, will not initially apply to Canada and Mexico.

The tariffs might be popular in certain parts of the country where steel producers are major employers, just as Trump's obsession with favoring coal over other energy sources plays well in areas that happen to have voted for him. One convincing argument is that the tariffs - whereas they would provide a shield to the USA steel industry - will increase steel prices, which will backfire on consumers and industries using steel, including the auto industry.

Canada's Foreign Affairs minister in Mexico City talking NAFTA with her representatives from Mexico and the U.S. Freeland says she won't let American threats of revoking Canada's exemption from metals tariffs compromise our position at the negotiating table.

"We're doing tariffs on steel".

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Australia denies security deal behind U.S. tariff exemption
There is a trade deficit with the USA , meaning more American products and services are bought down under than sent the other way. The bloc says that it's a close ally of the USA and therefore any import levies on national security grounds are unjustified.

In the end, Trump's tariffs might help him win the battle for Ohio, Michigan, Pennsylvania or Wisconsin, but they will lose him the war in terms of trade. "It's clear. We need clarity", European Commission Vice President Jyrki Katainen said.

The initial reaction in Mexico was positive, since the alternative would have further complicated the NAFTA talks. While there may be players in the USA metals industry that benefit, there are even more people in the metal supply and fabrication industries that will be negatively affected. "Steel is back, and aluminum is back".

"We have strong defence and security co-operation relationship as close allies in North Atlantic Treaty Organisation, permanent members of the United Nations security council and nuclear powers".

"Sometimes that steel is dumped for ridiculously low prices and that smashes our local businesses, our local industry and our local workers", Mr Chalmers told Sky News. While the Trump highlighted the nations' military and trade relationships, Turnbull moved to clarify Trump's comment about a new "security agreement", saying the president was referring to the legal paperwork that would lock the exemption into place.

Data last week showed that the USA trade deficit had jumped to an over nine-year high in January, with the country's shortfall with China widening sharply.

"If Trump wants his allies to demonstrate that they are united in tackling problems with China, this is precisely that", the source added.