The announcement by U.S. President Donald Trump that his administration would be imposing tariffs on foreign imported steel and aluminum threatens to send the U.S. and its trading partners into a global trade war.
Prices of U.S. domestic steel are up approximately 20 percent since the beginning of 2018. This is due to expectations of “protectionist measures, which could prove a significant drag on steel consumers like the machinery, motor vehicle, and construction industries,” Capital Economics a