Commercial war between the USA and the EU: steel suppliers in danger!

Commercial war between the USA and the EU: steel suppliers in danger!

The impending tariffs that US President Donald Trump plans could significantly burden the European and especially the Austrian economy. According to information from Vol.at, the planned punitive tariffs on steel and aluminum, which have already been announced by Trump's new term in the first two weeks, have serious consequences for companies in Austria such as Voestalpine and Amag. These companies are heavily integrated into the US market, which increases the effects of tariffs. The stock exchanges reacted relatively calmly after Trump's announcement, but there is a risk that companies such as Voestalpine and AMAG will get into trouble due to increasing advance payment prices and higher end consumer prices, according to Harald Oberhofer.

economic consequences for the EU

The American government has announced that it would soon introduce tariffs to EU products, which would further exacerbate the situation for European exporters. The EU exported were worth around 500 billion euros to the USA - tariffs could drive up these costs, which brings negative effects on industry. Experts, including the WiFo economist Oberhofer, warn of a more intensive trade conflict between the United States and the EU compared to 2018 when similar tariffs were issued. This could lead to a noticeable decline in the commercial volume and endanger economic stability, especially since the United States was the largest growth market for Austrian exports last year, Krone.at.

Especially the steel and aluminum sector is affected; While Austria exported 243,000 tons of steel and 34,000 tons of aluminum to the USA last year, this market could now be severely restricted by Trump's customs policy. Austria is dependent on stable access to the US market, which could make the upcoming tariffs a central concern of national economic policy. The expert estimates indicate that Austria's economic growth, which was forecast at 0.6 percent for 2025, is at risk from the US trade developments, as stated by Vol.at and Krone.at.