Trump Administration’s Steel, Aluminum Tariffs Are ‘Ill-Advised,’ Says Shapiro

President Donald Trump’s decision to impose tariffs on imported steel and aluminum is “ill-advised,” said CTA President Gary Shapiro in a Thursday statement. Trump's proclamation exempts Canada and Mexico from the tariffs, which take effect for others in two weeks. By imposing tariffs, the Trump administration “risks reversing its successes” and “could ultimately cost far more American jobs than it would create, and raise costs on consumer products,” said Shapiro. “The imposition of tariffs will undoubtedly result in previously uninvolved sectors being retaliated against and create a dangerous race to the bottom, which is a threat to our domestic economy and the entire global trading system.” Shapiro fears “retaliation” for the tariffs could pose a “national security threat,” he tweeted last week (see 1803020038). National Retail Federation CEO Matthew Shay agrees the tariffs are "an unnecessary tax on every American family and a self-inflicted wound on the nation’s economy," he said Thursday. Consumers "are just beginning to see more money in their paychecks following tax reform, but those gains will soon be offset by higher prices for products ranging from canned goods to cars to electronics," said Shay. The retail industry is "extremely concerned by the administration’s apparent desire to ignite a trade war, where the net losers will be the very people the president wants to help," Shay said. Retailers are also "troubled by the direction of the ongoing NAFTA [North American Free Trade Agreement] negotiations and the threat of additional tariffs on consumer goods from China," he said, saying building walls blocks "the free flow of commerce in today’s global economy.”