![Doanld Trump responds to EU statement. [Image Credit: Gage Skidmore/Flickr]](https://staticr1.blastingcdn.com/media/photogallery/2018/3/5/660x290/b_502x220x82/doanld-trump-responds-to-eu-statement-gage-skidmore-via-flickr_1868119.jpg "Doanld Trump responds to EU statement. [Image Credit: Gage Skidmore/Flickr]")
Though facing backlash from the rest of the world and members of his party Donald Trump signals he is not backing down from his decision to impose tariffs on imports of steel and aluminum. Earlier on Saturday, Trump tweeted that the US has an annual $800 billion deficit due to ‘very stupid' trade deals and policies. He also wrote that foreign countries were benefiting from American jobs and wealth which was going to stop. On Sunday night, the President tweeted again referring to the country's steel and aluminum industries as "dead". During his campaign, the President had promised to protect American manufacturers and imposing new tariffs is his way of keeping his word.
We are on the losing side of almost all trade deals. Our friends and enemies have taken advantage of the U.S. for many years. Our Steel and Aluminum industries are dead. Sorry, it’s time for a change! MAKE AMERICA GREAT AGAIN!
— Donald J. Trump (@realDonaldTrump) March 5, 2018
The United States has an $800 Billion Dollar Yearly Trade Deficit because of our “very stupid” trade deals and policies. Our jobs and wealth are being given to other countries that have taken advantage of us for years. They laugh at what fools our leaders have been. No more!
— Donald J. Trump (@realDonaldTrump) March 3, 2018
The EU plans to fight back
The British Prime Minister Theresa May called Trump to express her disapproval of the new tariffs.
Mr. Juncker of the european union also expressed his displeasure warning the EU would retaliate by imposing more duties on American traders in the region. Trump then tweeted threatening that if the EU decides to increase its taxes on US companies in the region, he will make it harder for them to sell their cars in the United States.
If the E.U. wants to further increase their already massive tariffs and barriers on U.S. companies doing business there, we will simply apply a Tax on their Cars which freely pour into the U.S. They make it impossible for our cars (and more) to sell there. Big trade imbalance!
— Donald J. Trump (@realDonaldTrump) March 3, 2018
Electrolux, the Swedish appliance manufacturer has postponed its $250m investment to build a modernized plant in Tennessee following the President's recent decision.
Electrolux fears the significant rise in steel and aluminum price which would significantly affect its production. The company currently purchases all its steel from the US. The spokesman Daniel Frykholm made the announcements claiming the project will be put on hold awaiting further details of Trump’s proposals.
The President is also facing criticism from a growing number of Republicans. South Carolina Sen. Lindsey Graham insists the president is focusing his efforts in the wrong direction. The senator said, instead of imposing tariffs on China, Trump is targeting the country's allies. Graham also pointed out that China will benefit from this proposal and gain leverage against the U.S.
No special treatment
Speaking to CNN, White House advisor Peter Navarro said no country will be exempted from the new tariffs. He also spoke of how favoring some nations would have a more negative impact. Cabinet Office Minister David Lidington also expressed his displeasure saying Trump would igniting a trade war in an attempt to increase duties. In his comments, the minister said trade wars have more negative implications on a country than positive, giving an example of when the UK tried to protect its car industries in the 1960s which resulted in them losing all their export market.
