USA intends to introduce tariffs on aluminum imports

Shares of American aluminum producers Alcoa Corp. and Century Aluminum Co. jumped along with the price of light metal as the US Department of Commerce recommended that President Donald Trump introduce tariffs and quotas on imports.

The ministry has proposed a 7.7 percent tariff on all aluminum imports and 23.5 percent on metal if it comes from China, Russia, Venezuela and Vietnam. The department also offered an aluminum quota of 86.7 percent of 2017 exports, they said, demanding anonymity because the recommendations are not public. It is planned to publish information on the recommendations for the import of aluminum and steel.

Imposing tariffs on such widely used goods could trigger retaliation from China, the world's largest steel and aluminum producer. It could also inflate production and consumer prices in the US and fuel tensions with allies such as Japan, India, Germany and Canada. A group of 20 countries are outraged by the threat of steel tariffs, warning that such a move could mean a trade war.