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EU does tit for tat

The European Union will slap 25 per cent tariffs on imports from the United States.
Those include men’s and women’s blue jeans, T-shirts, shorts, men’s synthetic woven industrial and occupational trousers, cotton woven bed linen that is not printed, and footwear with upper and outer soles of leather not covering the ankle.

This is in response to the US’ decision to place tariffs on aluminum and steel coming from some of the country’s closest trading partners: Europe, Canada and Mexico.

In many ways, the European Union’s imposition of tariffs on apparel is reminiscent of five years ago when the EU increased a tariff on women’s blue jeans made in the United States. That tariff rose from 12 per cent to 38 per cent due to another trade dispute, costing some Los Angeles denim makers as much as 2,50,000 dollars during a six-month period.

In 2017, the United States shipped 690 million dollars in apparel to the European Union’s 28 countries compared with 720 million dollars in 2014.

The other side of the issue is the cost of increased tariffs on aluminum and steel. Canada, Mexico and Europe account for more than half of the imports of those two metals coming into the United States. Anyone who uses aluminum or steel will see price increases.

 
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