The United States and the European Union (EU) released a joint fact sheet on October 31 announcing terms of a tariff agreement completed between the two global economic powers. The agreement includes terms specifying replacing the United States’ tariff with a rate quota on steel and aluminum imported from the EU. As a result, steel and aluminum imports from the EU will be limited to historically based quantities without being subject to a tariff prior to entering the U.S., according to a Commerce Department statement.
This newly forged agreement might prove to have lasting effects on the global economics of metals markets, and it remains to be seen what legal ramifications will arise in the coming months. However, we can explore these issues to make more-informed decisions related to metal markets.