US President Donald Trump today tweeted that he had authorised a doubling of tariffs on steel and aluminium imports from Turkey. The tariff on steel is now 50% and the tariff on aluminium is now 20%. This move by the US administration follows mounting tension between the two NATO allies over Ankara’s imprisonment of the evangelical pastor Andrew Brunson and other diplomatic issues.
Trump tweeted “I have just authorized a doubling of Tariffs on Steel and Aluminum with respect to Turkey as their currency, the Turkish Lira, slides rapidly downward against our very strong Dollar! Aluminum will now be 20 percent and Steel 50 percent. Our relations with Turkey are not good at this time!”
The effect on the Turkish lira was immediate. The Turkish lira plummeted some 20% to TL 6.50 to the dollar (TL 7.32 to the euro). The Turkish lira had already been under extreme pressure in recent weeks and the new level meant that the Turkish lira had devalued some 70% since the beginning of the year.