Trump should be 'smarter' on steel tariffs: US Speaker Ryan

  • Trump should be 'smarter' on steel tariffs: US Speaker Ryan

Trump should be 'smarter' on steel tariffs: US Speaker Ryan

"Market participants have had more time to digest the implications of Trump's import tariffs on steel and aluminium and seem to have come to the conclusion that the market over-reacted last week", BNZ interest rate strategist Nick Smyth said in a note.

House Speaker Paul Ryan and other Republicans worry that such tariffs would spark a trade war.

"We've had a very bad deal with Mexico, we've had a very bad deal with Canada - it's called NAFTA", Trump said. Many lawmakers have issued strong rebukes of Trump's plans and outside conservative groups have also spoken out.

"The new tax reform law has boosted the economy and we certainly don't want to jeopardise those gains".

Sen. Pat Roberts, the chairman of the Senate Agriculture Committee, told reporters last week that Trump's decision on tariffs was the wrong one. It is likely to react violently if Trump's tariffs harm them economically.

The letter doesn't mention any countries as potential targets.

"This makes it quite hard politically for the negotiations to move forward", says Michael Pearce, an economist at Capital Economics, a research firm.

The letter was drafted by committee chairman Kevin Brady of Texas and Washington state's Dave Reichert, who heads the panel's trade subcommittee.

In a pair of Monday morning tweets, Trump is reiterating his displeasure with trade deficits with Mexico and Canada.

On Monday, the PM's spokesperson played down the row, saying: "Both the PM and President Trump agree on the importance of reaching a swift post-Brexit bilateral trade deal".

Trump's plan has ignited a firestorm of opposition, with criticism from around the globe, senior members of his own party, and top manufacturers including Ford Motor Co.

The latest round of NAFTA talks are concluding this week in Mexico City.

EU Commissioner for Trade Cecilia Malmstrom told the BBC that Levi's jeans, Harley-Davidson motorbikes, and Bourbon whiskey were on a draft list of U.S. goods to be taxed. Mr. Navarro clashed with Chris Wallace of Fox News, who tried to get the economic adviser to admit that those costs, when multiplied by all products that use steel and aluminum over the entire economy, would escalate into the billions of dollars. The president appeared unbowed on Sunday, as he tweeted that American "Steel and Aluminum industries are dead".

"Firm line in the sand", he says.

The US president is also planning to offer post-Brexit Britain a worse "Open Skies" deal, which allows airlines to operate in each other's countries, than it had as an European Union member, according to the Financial Times.

The tariffs proposed would primarily hit longtime US allies Canada, Britain, Germany, South Korea, and Japan.

The US already has a 2.5% duty tax on European cars against the 10% tax which the EU levies on American-made cars.