UNITED STATES (OBSERVATORY) – The European Union is seeking compensation from the United States for tariffs on steel and aluminum imports, a complaint to the World Trade Organization (WTO) said on Monday, despite Washington’s assertion that the fees were exempted from WTO rules.
In a move China has already taken, the EU said it did not accept the justification for “national security” on which Washington had based its duties, saying the fees were imposed only to protect US industry.
Import protection charges can be imposed on a particular product if the industry in the importing country is in serious danger of a sudden rise in import prices. In the case of the United States, critics of US President Donald Trump’s policy say there is no such threat.
The EU said it wanted consultations with the United States as soon as possible.
Trump announced the cartoons last month, which sparked global protests because those cartoons are seen as unjustified and populist.
States can request exemption from many international trade rules if they show that they charge fees to protect their national security. But those exemptions do not apply to protectionist sanctions.
The European Union and other US allies have expressed concern not only that the fees will reduce their exports to America, but also the possibility that the unsold steel will sink into their markets, oversupply.
China has said it will respond by charging US imports of up to $ 3 billion