Australia, one of the economies subject to the new 12.5% tariff rate, said that the US measure was "completely unjustified" and inconsistent with their bilateral trade agreement.
“It’s an extremely disappointing decision. We don't believe there's any justification for the American government to increase the tariff on Australian goods. We believe we do take the issue of modern slavery seriously. We have some of the most progressive legislation anywhere in the world. These tariffs are unjustified and we call on the United States government to reverse them,” said Australian Foreign Minister Don Farrell.
US trading partners are also forced to calculate how to respond to a tariff policy that could be long-lasting.
Canada is currently dealing with the new US duties and facing the risk of a 50% tariff rate on a different set of imports expected to take effect next month.
Prime Minister Mark Carney said that Canada is stepping up negotiations with the US toward a comprehensive trade agreement, preparing necessary measures to protect its domestic situation, and promoting the diversification of trade relations to reduce reliance on the US market.
He said that Canada does not rule out the possibility of retaliating if negotiations fail.
