This picture taken on July 8, 2020 shows an aerial view of aluminium production materials containers stored at al-Quoz Industrial Area of the Gulf emirate of Dubai, during a govt-organised helicopter tour. (PHOTO / AFP)
WASHINGTON – US President Joe Biden will maintain a tariff of 10 percent on aluminum imports from the United Arab Emirates, reversing Donald Trump’s move to end the levies on his last day as president, the White House said on Monday.
Trump had announced on Jan 20 that he would exempt the UAE from the tariff on most aluminum imports
The Republican president had announced on Jan 20 that he would exempt the UAE from the tariff on most aluminum imports, saying the two countries had reached a quota agreement that would restrict them.
The exemption was due to take effect on Wednesday.
Trump granted the exemption shortly after designating the UAE a “major security partner” and signing a deal to sell it 50 Lockheed Martin Corp F-35 fighter jets.
Last week, the Biden administration said it would temporarily pause that deal, and some others, to review them.
READ MORE: US slows arms sales to Saudi Arabia, UAE for review
The White House decision late on Monday said the aluminum tariff would be more effective in protecting domestic producers than the “untested quota” announced by Trump.
“In my view, the available evidence indicates that imports from the UAE may still displace domestic production, and thereby threaten to impair our national security,” Biden said.
“I consider it is necessary and appropriate in light of our national security interests to maintain, at this time, the tariff treatment applied to aluminum article imports from the United Arab Emirates,” he said.
The UAE embassy in Washington had no immediate comment.
A White House spokeswoman said the reversal of Trump’s decision should not be seen as “derogative to the close diplomatic relationship between the United States and UAE”, but was part of a broader review of the previous administration’s trade policies, including tariffs.
The UAE had during Donald Trump’s last day in office signed agreements to buy up to 50 F-35 jets, 18 armed drones and other defence equipment in a deal worth US$23 billion
Trump first imposed the tariff in 2018 to revive idled aluminum facilities, open closed smelters and mills, and boost domestic production by cutting US reliance on foreign producers, Biden said, adding that need still existed.
F-35 jets sale goes through
The UAE ambassador to Washington said he was confident the sale of F-35 jets to his country would go through after a review by Biden’s administration of some pending arms sales to US allies.
ALSO READ: Sources: US moves forward with sale of 50 F-35 jets to UAE
The UAE had during Trump’s last day in office signed agreements to buy up to 50 F-35 jets, 18 armed drones and other defense equipment in a deal worth US$23 billion.
“We did everything by the book and they will discover that once the review is complete and it will proceed,” Ambassador Yousef Al Otaiba told a virtual Washington Institute forum on Monday, describing the review as “pro forma”.
Last month, a US State Department official said Biden’s administration was temporarily pausing the implementation of some pending arms sales to US allies to review them.
“Everything is still proceeding while undergoing a review at the same time. I am confident it will end up in the right place,” Otaiba said.
“If you are going to have less of a presence and less involvement in the Middle East you can’t at the same time take tools away from your partners who are expected to do more,” he said.