Closing post
Time to wrap up
Donald Trump’s decision to impose new tariffs on steel and aluminium has shaken UK industry, with trade body warning it will cause damage.
Gareth Stace, director general of trade body UK Steel, says:
“President Trump has taken a sledgehammer to free trade with huge ramifications for the steel sector in the UK and across the world.
This will not only hinder UK exports to the US, but it will also have hugely distortive effects on international trade flows, adding further import pressure to our own market.
The Community union has said Trump’s move is “a huge cause for concern”, adding:
“There is now an even greater need for comprehensive safeguards to protect our domestic steel from cheap overseas steel imports.”
Other countries have vowed to hit back. Canadian prime minister Justin Trudeau pledged that “Canadians will stand up strongly and firmly if we need to”.
The EU vowed to respond firmly, with European Commission President Ursula von der Leyen saying:
I deeply regret the US decision to impose tariffs on European steel and aluminum exports.
Tariffs are taxes - bad for business, worse for consumers.
Unjustified tariffs on the EU will not go unanswered—they will trigger firm and proportionate countermeasures.
The EU will act to safeguard its economic interests. We will protect our workers, businesses and consumers.
The Bank of England has also been making news.
Governor Andrew Bailey hit out at efforts to remove regulation, saying:
There is a reaction taking place against regulation, and the responses to the GFC [Great Financial Crisis]. We must not forget the lasting damage done by the GFC. There is no trade off between economic growth and financial stability.
And policymaker Catherine Mann warned that the UK jobs market is weakening, as she explained that her vote for a half-point cut to interest rates was meant to ‘cut through the noise’.
In Washington DC, Federal Reserve chair Jerome Powell has told senators that the US economy remains strong, and that there is no rush to cut interest rates.
Powell also conceded that it’s time to take a look at the rise of ‘debanking’ in the US….
Updated
Powell: Time to take a fresh look at debanking
Fed chair Jerome Powell then says he is “troubled” by reports of debanking across the US.
He suggests banks might be too risk-averse, perhaps due to money-laundering concerns, adding:
I think it needs a fresh look. It’s time for that, and we’re going to do it.
