EU, Japan seek clarity from crunch USA trade talks

The Latest: 18 trade partners urge US to reconsider tariffs

The Latest: 18 trade partners urge US to reconsider tariffs

"As a close security and trade partner of the USA the European Union must be excluded from the announced measures", she said.

Malmström will meet U.S. Trade Representative Robert Lighthizer in Brussels on Saturday to discuss an exemption.

The European Commission, which coordinates trade policy for the 28-nation EU, the world's biggest trading bloc, has said it is ready to impose safeguards, tariffs or quotas to protect its own steel and aluminium industries from products diverted to Europe because of the US measures. If the 28-nation European Union can not secure an exemption, it has threatened to impose retaliatory tariffs on U.S. products like peanut butter and orange juice.

He said Canada and Mexico are exempt for now, and other countries could be spared if they can convince the administration that their steel and aluminum exports don't threaten American industry.

Announcing the tariffs, Trump said Canada and Mexico would be excluded and other countries could negotiate exemptions, but he singled out Germany for particular criticism.

The US president's plan would affect European Union steel exports, valued at €5.3 billion and aluminium exports worth €1.1 billion past year, and has opened the door to the prospect of an imminent transatlantic trade war.

The real estate tycoon also faced a backlash at home with his top economic advisor Gary Cohn stepping down in opposition to the tariffs and senior Republican allies voicing shock and dismay.

Brussels is also looking to "safeguard" measures to protect its industry - restricting the bloc's imports of steel and aluminium to stop foreign supplies flooding the European market, which is allowed under World Trade Organisation rules.

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"This is not a trade negotiation", Katainen said.

According to Jorge, if the United States declines his proposal, he doesn't rule out the possibility of seeking an appeal before the WTO.

Foreign steel producers are not only concerned about losing access to the U.S. market but also that steel from other exporters will flood already saturated markets, threatening jobs elsewhere.

Mr Turnbull later told reporters that legal paperwork confirming the exemption was yet to be completed, but an executive order would put Mr Trump's direction in place.

"We call for calm-headed behaviour", Mr Seko added.

Similarly, the China Iron and Steel Association said that it "strongly opposed" the new levies and asked the Xi Jinping government to take measures in response. "We will look at the impact on Japanese businesses and make a final decision".

"If there is a violation, then we will seek consultations".

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