The US President Donald Trump has increased the tariffs on the steel and aluminum imports since March 1st. This boost has not gone well with the training partners and the business in the US.
The introduction of new tariff on the trading partners and the businesses might give opportunities for a trade war. Many feel that this decision by the Trump administration will backfire badly.
The new tariffs will come into effect in 15 days. Trump has suggested a 25% hike in the import of the steel and 10% levy on aluminum import. This has been put forth by the government in order to protect its workers.
This increase in the steel and aluminum tariff will raise costs exponentially. The consumers will have to bear the major portion of this increase. The increased cost of steel and aluminum might put people out of work.
This move by the United States administration has not won the affection outside the US. The Chinese government has said that it opposes this new US steel and aluminum tariff increase. The Japanese say that this tariff increase in the US might affect the economic and cooperative relationship between two countries. The EU is hoping of getting exempted from the new tariff.