U.S. allies have responded to the Trump administration's implementation of 25% global tariffs on aluminum and steel by announcing retaliatory measures. The European Union (EU) and Canada have declared tariffs on U.S. goods amounting to over $40 billion.
The EU's tariffs target bourbon and agricultural products, with an economic impact nearing $28 billion. Similarly, Canada has imposed tariffs on tools, computers, as well as steel and aluminum imports, totaling over $20 billion. These announcements follow a brief period where the Trump administration allowed tariffs against Canada and Mexico before suspending most through April.
This marks the second instance of the EU imposing tariffs on American goods in recent years, with the first occurring during President Trump's initial term. The previous round had significant effects on Kentucky’s bourbon industry and is expected to affect auto manufacturers as well. The EU is considering additional products for potential tariff imposition based on future actions by the Trump administration while expressing a willingness to negotiate to prevent economic disruption for both U.S. and EU members.
The latest tariff developments are anticipated to influence consumer prices and business costs nationwide. Greater Louisville Inc., a regional chamber of commerce, opposes policies detrimental to businesses in the Louisville area. "GLI opposes policies that will negatively impact businesses across the Louisville region," they stated, adding that they continue to monitor these executive actions affecting their community.