The latest U.S. tariffs will damage trade relations and add to uncertainty for the global economy and businesses, a senior Finnish industry official warned Monday, criticizing Washington's continued use of tariffs as a trade policy tool, reported Xinhua, quoting national broadcaster Yle.
"Hopefully, the U.S. administration will draw the conclusion that trade wars cannot be won with tariffs and that tariffs do not strengthen trade relations," Timo Vuori, director of international trade and trade policy at the Confederation of Finnish Industries (EK), told Yle.
Vuori was referring to new U.S. tariffs of 10 to 12.5 percent on imports from 60 economies, including the European Union.
The Office of the U.S. Trade Representative announced the measures Thursday, citing Section 301 of the Trade Act of 1974 and international labor standards. They took effect from Friday after earlier temporary worldwide tariffs of 10 percent expired.
The United States said the latest tariffs were intended to address what it described as inadequate measures by trading partners to prohibit imports of goods made with forced labor.
Vuori dismissed the justification, saying Trump had needed a new legal basis to impose tariffs unilaterally and had found one by invoking forced labor under legislation dating back to the 1970s.
"Europe has certainly done its part in combating forced labor," Vuori said, rejecting the U.S. claim.
"In fact, the United States has not fulfilled all of its obligations under the International Labour Organization."
Regarding Finnish-U.S. trade, Vuori said Finnish companies had been forced to adapt to tariffs imposed by the Trump administration, with some businesses required to pay additional duties.
"The continued 50-percent tariff level remains a major challenge for the steel industry. There are also major issues concerning the pharmaceutical industry," he said.
"In the end, U.S. customers will pay the tariffs," Vuori added.
Vuori also expressed concern that Trump had increasingly used tariffs as a tool in disputes extending beyond economic and trade policy.
"Trump has threatened tariffs when Denmark disagreed with him over Greenland, as well as over issues related to Iran and NATO cooperation," Vuori said.
"Tariffs are a weapon for Trump, and that is worrying from an economic point of view because it creates uncertainty."
- US
- Tariffs
- Uncertainty
- Finnish
- Business
Source: www.dailyfinland.fi
