The World Trade Organization (WTO) said former President Donald Trump’s tariffs on steel and aluminum imports violated global trade rules, dismissing his claims to justify national security concerns.
The WTO has ruled following lawsuits filed by China, Norway, Switzerland and Turkey. Her two other challenges posed by India and Russia remain unresolved.
The WTO said the national security debate on tariffs was flawed because the tariffs were not brought about “in times of war or other emergencies.”
The Biden administration has condemned the ruling and said it plans to keep Trump’s tariffs.
“The Biden administration is committed to preserving America’s national security by ensuring the long-term viability of the steel and aluminum industries,” said Adam Hodge, Assistant U.S. Trade Representative.
Mr Hodge added that the WTO’s dispute settlement system “should be fundamentally reformed”.[ed.]”
“For more than 70 years, the United States has clearly and unequivocally stated that national security issues cannot be revisited in WTO dispute settlement and that the WTO has no mandate to speculate on the ability of WTO members to address a wide range of issues. Mr. Hodge said:
The WTO said the US would have to risk retaliatory tariffs by complaining countries if it did not comply with its trade policy.
The United States can appeal the decision, but the dispute over the government’s blocking of the appointment of the WTO Appeals Body to hear appeals remains unresolved.
Some lawmakers were vocal in their criticism of the WTO decision.
“Section 232 tariffs are the last bulwark against China and Russia, flooding our coasts with cheap, dirty steel and ruining the economy of northern Minnesota,” said Minnesota Republican Rep. Pete Stauber. I was. “The WTO is wrong. Our steel supply chain is a strategic national security concern.”