SteelAsia sees ‘no direct impact’ from hiked US tariffs on steel

A plan by the United States to slap tariffs of 25 percent on steel and 10 per cent on aluminum will have no direct impact on the Philippines, according to SteelAsia Manufacturing Corporation, the country’s largest steel company and the largest producer of rebars in Southeast Asia.

“The Philippines is not a big trading partner of the US for steel. So, there will be no direct impact,” said SteelAsia President Adrian Cristobal Jr.

Cristobal said that “Indirectly, the new policy may divert commodity steel products from the US market to other markets, including Asia, which could benefit us”.

On Thursday, US President Donald Trump said the new tariffs on steel and aluminum were aimed at China, as part of ramped up efforts to clamp down on dumping and unfair subsidies of foreign goods sold in the US.

“We don’t believe there will be supply issues for construction steel as a result of the new US policy,” said Cristobal.

An AFP wire reports, however, quoted White House official saying that no countries will be exempt from the steep steel and aluminum tariffs that President Donald Trump announced.

Trump ‘’made clear that this would be an across-the-board tariff with no exclusions,’’ the official told reporters.

However, the White House will consider possible exemptions in ‘’situations’’ that arise on a case-by-case basis, the official said, speaking on condition of anonymity.

Refusing to spare friendly countries from the punishing tariffs could further inflame tensions created by Trump’s sudden announcement on Thursday to protect American metal producers on national security grounds.

While Trump has long castigated China for unfair trade practices, the US, which is the world’s largest importer of steel, buys most of it from allies like Canada, Brazil and South Korea.

Trump doubled down amid the firestorm on Friday, tweeting that ‘’trade wars are good, and easy to win’’ and proposing ‘’reciprocal taxes’’ on all goods from exporting countries which place duties on imports of US products. (BCM with AFP)