Steel and aluminum tariffs remain a headache despite Trump’s trade deal with Mexico and Canada
Some policy watchers predict that the tariffs will be lifted soon.
“USTR Lighthizer today carefully acknowledged that the three countries will negotiate on the tariffs. Once they agree that there are demonstrably changed circumstances on metals issues, the metals tariffs on Canada and Mexico likely cease, our instinct is early in the New Year,” Terry Haines, an analyst at ISI Evercore, wrote in a note to clients.
But businesses and farmers are growing impatient. An agricultural coalition group formed to oppose tariffs said that U.S. exports targeted with retaliation, including beef, pork and apples have faced more than $1.1 billion in new tariffs, leading to a 21 percent drop in exports.
“While USMCA offers exciting opportunities for market access into America’s largest and closest ag export markets, any gains will continue to be offset by the losses farmers are experiencing from retaliatory tariffs as long as they are in place,” Brian Kuehl, executive director of Farmers for Free Trade, wrote in a statement.
The influential Business Roundtable also called for a “prompt resolution” of the tariff issue and said it would review the USMCA against the objective of increasing the competitiveness of U.S. companies.