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Europe Daily Bulletin No. 12029
EUROPEAN PARLIAMENT PLENARY / United states

Big political groups in Parliament back Commission's action over question of levies on steel and aluminium

At the European Parliament plenary in Strasbourg on Tuesday 29 May, the big political groups supported the European Commission over the question of unilateral raising of US customs duty on imports of steel, from which the European Union is provisionally exempt until 1 June and for which it is requesting permanent exemption.

In principle, we support the Commission’s approach that the EU should insist on permanent exemption ahead of any trade talks, said Germany’s  Godelieve Quisthoudt-Rowohl on behalf of the EPP.  She said Donald Trump’s protectionist strategy cannot work because as experience shows, customs duties only help inefficient producers.  She said the real problem on the global steel market was in Asia.

On behalf of the S&D, Germany’s Bernd Lange called for the EU to remain firm, not negotiate under pressure and to protect European workers: ‘The EU will not be blackmailed into dirty deals. The US punitive tariffs are in breach of international law, they are intended to undermine the global rules-based trade order and must be treated as such. They are no bargaining chip,’ adding ‘the EU stands ready to react with proportionate countermeasures.’

‘We hope to avoid a negative spiral leading to a trade war. Yet, the EU will not turn the other cheek time and again, but defend its workers and industries within the remits of international law. The EU will play its part in defending the multilateral rules-based trading order,’ he said.  ‘We call for European unity and we stand for a Europe that protects,’ said his Italian colleague, Alessia Mosca.

On behalf of the ECR group, the UK’s Emma McClarkin slammed the ‘misguided action that will mostly affect strategic trading partners such as the UK and the EU, both long-standing and key security allies of the US and who are also affected by the same unfair practices. I have stressed before that the UK and the EU’s exports are not the cause of difficulties facing steel and aluminium producers in the US. The main pressures arise from overcapacity that is rooted in market distortive practices. (…) it is important that the US recognises this and grants the EU a permanent exception’ argued McClarkin.  She said ‘I would welcome any effort to liberalise trade, but it is important that it is done in a proportionate and transparent fashion.’

On behalf of the ALDE group, Germany’s Nadja Hirsch backed the European Commission’s action, calling it fair and calling for dialogue with the US and an approach for a transatlantic agreement.  Hirsch said talks ‘on the quiet’ between Germany’s economy minister Peter Altmaier and the US administration on quotas ‘weakened the EU's position.’

On behalf of the Greens/EFA group, Germany’s Ska Keller said: ‘The EU must maintain its position as a defender of multilateralism and avoid escalating the conflict. Any action by the EU has to be proportionate and targeted. It is vital that EU countries remain united in facing down Trump's aggression and do not seek back door deals on their own products.’  Keller added: ‘The current situation should be an impetus for the EU to take steps to make its economy less vulnerable to the whims of people like Donald Trump. The EU needs a strong industrial policy to defend its workers and support the move to a low carbon economy.’

For the GUE/NGL, Germany’s Helmut Scholz called on the EU not to only beg for an exemption for itself, but to defend the rights of all WTO countries in the face of US customs tariffs.  He also called for talks on overcapacity with all parties around the negotiating table.

On behalf of the EFDD group, Italy’s Tiziana Beghin called on the EU to stand firm against US subterfuge over customs duty on steel and to demand the concessions that the US tried to win in the TTIP talks, such as access to the market for its hormone-containing beef, regulatory cooperation, and fracked LNG exports.  She said Washington would impose quotas, which would not be easy and concessions would be required, but they couldn’t allow the TTIP to enter through the back door.  (Original version in French by Emmanuel Hagry)

Contents

EUROPEAN PARLIAMENT PLENARY
SECTORAL POLICIES
INSTITUTIONAL
EXTERNAL ACTION
COURT OF JUSTICE OF THE EU
NEWS BRIEFS