President Trump’s proposed tariffs on steel and aluminum imports will include “carve-outs” for some countries with whom trade provides a national security benefit to the U.S., White House press secretary Sarah Sanders said Wednesday.
“There are potential carve-outs for Mexico and Canada based on national security, and possibly other countries as well,” Sanders told reporters at the White House.
Trump announced last week that his administration would apply a 25 percent tariff to all imported steel and a 10 percent tariff to all imported aluminum, regardless of origin, in order to protect American steel and aluminum producers. The proposed policy sent shockwaves through Capitol Hill and the market and sparked opposition among world leaders, many of whom threatened to impose retaliatory measures if Trump followed through on implementing his tariffs.
The president has since suggested Canada and Mexico could earn exemptions to the duties by conceding to more favorable terms for the North American Free Trade Agreement, which his administration has sought to renegotiate.
Sanders said Trump would consider waiving the tariffs for imports from certain nations on a “case by case and country by country” basis, and noted the criteria for exemptions would be linked to national security.
The steel and aluminum China exports to the U.S. will face tariffs, Sanders said, if the country does nothing to fix the behavior Trump has previously criticized. Beyond the trade deficit the U.S. has with China, Trump has slammed currency manipulation and intellectual property theft as activities that China uses to exploit American companies.
“The president has been clear that he wants to address the trade imbalances and the unfair practices, and certainly we would take anything into consideration, but as of right now we’re moving fully ahead,” she said of proposed tariffs on Chinese steel and aluminum.
Sanders noted Trump has “continued conversations” with U.S. allies whose leaders have expressed concerns about the effects American tariffs on imported metals would have on the global economy. European Union and Canadian officials, as well as lawmakers on Capitol Hill, have warned that Trump’s proposed measure could touch off a trade war that could spread to industries far beyond steel and aluminum manufacturing.
Still, Sanders said the president remains committed to the idea of imposing steel and aluminum tariffs as a remedy for the loss of American manufacturing jobs.
“He feels like the United States have been taken advantage of for far too long,” Sanders said.
Trump administration officials are racing to finalize the tariffs by the end of the week.
