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Russia calls for retaliation against U.S. steel, aluminum tariffs

Harley-Davidson moving some production overseas
Harley-Davidson says it's moving some production from the U.S. 04:54

Russia's prime minister is calling for tariffs on U.S. imports in response to duties that Washington has placed on foreign steel and aluminum.

Dmitry Medvedev on Wednesday did not specify what goods could fall under the tariffs, but told the Ministry of Economic Development to make proposals.

His statement comes amid increasing concern that U.S. President Donald Trump's tariffs would set off a global trade war. Already, the European Union and China have proposed or enacted retaliatory tariffs, including the EU's duties on $3.4 billion of U.S. products, which went into effect earlier this month in response to Mr. Trump's tariffs of 25 percent on EU steel and 10 percent on aluminum. 

Medvedev said: "These measures have a discriminatory character. They cannot remain without consequences. The European Union, China, and we need to think about response measures."

The U.S. goods targeted by the EU include typical American products like bourbon, peanut butter, and orange juice, in a way that seems designed to create political pressure on U.S. President Donald Trump and senior U.S. politicians. Europeans claim the Trump administration's tariffs on steel and aluminum break global trade rules.

Among the casualties of the brewing trade war is Harley-Davidson. Stung by the EU's retaliatory tariffs, the motorcycle manufacturer said this week it will shift some motorcycle production to factories outside the U.S. EU tariffs on its motorcycles exported from the U.S. have surged from 6 percent to 31 percent, it said.  

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