The European Council approved a negotiating mandate for trade talks with the U.S., but says it will not finish a free-trade agreement until the steel and aluminum tariffs on its member countries are lifted. The mandate, which was approved April 15, excludes agricultural trade from the talks.
The European Union and the U.S. have not formally begun the trade talks first agreed to last July, as the 28-member bloc still does not have a mandate to negotiate. Given that, many observers are doubtful negotiations could make substantial progress this year.
President Donald Trump bemoaned what he said are unfair trade practices levied against the U.S. by “many countries,” singling out and criticizing India while referring to its trade practices as “stupid trade.” Trump, speaking at a Republican Jewish Coalition Leadership meeting on April 6 in Las Vegas, accused India of imposing 100 percent tariffs on imports from the U.S. “Prime Minister [Narendra] Modi is charging us over 100 percent for many things,” Trump said. “We’re charging them nothing for similar or the same products, and I have senators who say you can’t do that. It’s not free trade ... it's stupid trade.” India has repeatedly delayed retaliatory tariffs on goods imported from the U.S. -- with the most recent delay coming April 1 (see 1904010010) -- in response to U.S.’s Section 232 steel and aluminum tariffs. During the rally, Trump also advocated for additional unspecified tariffs while accusing several unnamed countries of “charging us 200 and 250 and 300 percent” tariffs. “And we charge them nothing,” he said. “It’s OK to charge them something.”
The U.S. has "an immediate need" to secure lower agriculture tariffs for its producers because European, Canadian and Australian farmers are selling into Japan at lower tariffs than U.S. farmers can, said Wendy Cutler, the former lead negotiator for the U.S. in the Trans-Pacific Partnership. Canada and Australia are advantaged now because they stayed in the TPP. Japan also recently put into force an EU-Japan free trade agreement. Cutler, now vice president of the Asia Society Policy Institute, spoke at a Washington International Trade Association program April 3 on the future of U.S.-Japan Trade.
U.S. Trade Representative Robert Lighthizer touched on India’s potential retaliatory tariffs against the U.S. and criticized the country’s “significant tariff and nontariff barriers” in the 2019 National Trade Estimate on Foreign Trade Barriers. The 540-page report, released March 29, said India’s tariff barriers “impede imports of U.S. products into India” and was critical of India’s “complex” customs system and failure to “observe transparency requirements.”
Recent editions of Mexico's Diario Oficial list trade-related notices as follows:
Mexico’s secretary of economy hopes to publish a decree later this week that will increase duties to 15 percent on 186 tariff lines, according to a report in El Universal. The tariff increase will apply to the steel, textile and apparel and footwear sectors, the report said. The steel tariff is being imposed to “avoid injury to domestic industry by worldwide steel overproduction" and the illicit means by which metals are imported into Mexico, it said.
The Mexican government is considering adding new products to a list of U.S. goods that face higher tariffs in response to U.S. tariffs on steel and aluminum. During a March 6 meeting "of the Foreign Trade Commission of the Mexican Senate, Luz Maria de la Mora-Sanchez, Foreign Trade Undersecretary of Mexico’s Ministry of Economy, announced that the Mexican government is planning to include additional items on its list of U.S. products subject to retaliatory measures," law firm Thompson Hine said in a blog post. The additional goods may be finalized by April, Thompson Hine said.
The United Kingdom would temporarily set tariffs at zero for nearly 90 percent of imported goods should it leave the European Union with no transition deal in place, the U.K. Department for International Trade said in a March 13 press release announcing a draft tariff and customs scheme in the run-up to a vote in Parliament on whether to leave with no deal.