By Paul Ploumis
August 09, 2017 12:30:43 AM
Falls Church, VA (AIIS) - A European Union official indicated that a trade war would result if the United States imposes significant new restrictions on steel imports.
The Department of Commerce has been conducting a Section 232 investigation of the impact of imported steel on national security since April. The agency has a total of 270 days to report its findings, which could include recommendations regarding tariffs, quotas or similar measures.
European Commission President Jean-Claude Juncker said on July 7 that embracing protectionism “would be wrong” and would invite retaliatory measures.
“We will respond with countermeasures if need be, hoping that this is not actually necessary,” Juncker said. “We are prepared to take up arms if need be.”
Politico reported that Juncker stressed the importance of free trade during a closed-door meeting that included Trump at the G20 Summit in Germany.
“Trade agreements are not only about selling and buying,” Juncker said. “They’re about job creation.”
AIIS has repeatedly warned that efforts by the United States to restrict the free and fair trade of steel would lead to retaliation by other nations that would ultimately damage the U.S. economy and hurt American workers.