Tariff Tension: Trump Stirs Global Trade Waters Again

President Donald Trump announced new 25% tariffs on steel and aluminium imports, intensifying fears of a global trade war. The EU and South Korea consider responses while U.S. metals shares rise. Trump plans reciprocal tariffs, possibly harming both diplomatic ties and economic interests in the U.S. and abroad.

President Donald Trump has resurrected trade concerns by announcing a new 25% tariff on steel and aluminium imports, sparking fears of a broad trade conflict. The European Union and South Korea weigh possible responses while observing market impacts closely.

With this latest move, Trump continues a pattern established during his first term beginning in 2017 when he imposed significant tariffs on metals before negotiating exemptions. The prospect of reciprocal tariffs and retaliatory actions put diplomatic relations and the U.S. economy at risk of further tension.

Shares in U.S. steel and aluminium producers saw an uptick following the announcement, but international counterparts dropped amid worries of prolonged trade disputes. As countries like Canada and Australia make diplomatic overtures for exemption, Trump's actions hint at a broader strategic intention to bolster U.S. industrial interests domestically.

(With inputs from agencies.)