(From CNN) U.S. President Donald Trump announced Monday that the US will “restore” steel and aluminum tariffs on Brazil and Argentina, citing a “massive devaluation of their currencies.”
“Brazil and Argentina have been presiding over a massive devaluation of their currencies. which is not good for our farmers. Therefore, effective immediately, I will restore the Tariffs on all Steel & Aluminum that is shipped into the U.S. from those countries,” Trump tweeted early Monday morning from Washington.
Both Brazil and Argentina were exempted from 25% steel and 10% aluminum tariffs last year when Trump was attempting to avoid a trade war with those countries.
Both Argentina and Brazil have benefited from warmer trade relations with the US under Trump as a result of the US-China trade war, but the two countries have recently seen the values of their currencies drop.
The Brazilian real is down more than 8% against the dollar this year, and the Argentine peso is down 37%.
The United States has bought more steel from Brazil than any other country besides Canada during the first nine months of this year, making up nearly 11% of all steel imports, according to Census Bureau data. It relies on Argentina much less for steel, which made up for less than 1% of imports.