Douglas Alexander: “Yesterday, the World Trade Organization upheld its earlier ruling that the steel tariffs imposed in March of last year…”

“Yesterday, the World Trade Organization upheld its earlier ruling that the steel tariffs imposed in March of last year are illegal and in violation of global trade rules. As a result of this ruling, the European Union threatened to impose trade sanctions on American imports sold in Europe, ranging from footwear to fruits and vegetables. The EU has said that it will impose duties of 13, 15, 30 percent on these imports as soon as December 6 or at the latest December 15, if the steel tariffs continue to remain in place. The EU trade sanctions alone would amount to about $2.2 billion. Unfortunately though, the EU is not alone. Japan has announced that it will join the EU in retaliatory trade sanctions against the U.S. China, Norway and Switzerland have also notified the WTO that they will possibly impose trade sanctions against the U.S. if the steel tariffs are not removed. There is plenty of evidence that if the steel tariffs are allowed to continue they will do more harm than good. On September 19, the International Trade Commission released its report on the effects of the steel tariffs on steel consuming industries. Here is what they found. One-half of the steel-consuming firms that were surveyed reported they had difficulty in obtaining steel in the qualities and quantities they needed. Almost one-third of these firms relocated or shifted production to foreign plants or facilities after the implementation of the tariff.”