This week, G20 representatives participated in the Global Forum on Steel Excess Capacity (GFSEC) the Organization of Economic Cooperation and Development (OECD) HQ in Paris, France in part to discuss the new US tariffs on steel and aluminum the Bubble reported on here.
In regard to the issue at hand, OECD chief Angel Gurria underscored a need for “global solutions to global problems, and that is exactly why the Global Forum on Steel Excess capacity exists.”
GFSEC was launched as a G20 initiative in 2016 under China’s presidency and last met in Germany this past November. According to the group’s website, the aim of the forum is to address “global excess capacity on steel markets by increasing information sharing and greater cooperation, and through the adoption of effective steps to address the challenges of excess capacity.”
Gurria noted that a ministerial-level GFSEC meeting will take place in June to further discuss “swift and tangible action” needed to be taken in 2018.
Argentine Undersecretary of Foreign Trade and GFSEC Chair Shunko Rojas echoed the importance of the group’s responsibilities and the call to action, commenting on the “very clear mandate” for the GFSEC. Rojas stated that “nothing less than the full and timely implementation of our commitments will do.”
Yesterday, US President Donald Trump signed an order to place tariffs on imported steel and aluminum at 25 and 10 percent respectively. Initially Trump indicated a pass on fellow NAFTA-members Canada and Mexico, and also signaled other allied countries, like Australia, could be excluded down the road. Perhaps, may we suggest, another country down under beginning and ending with an A?
This is the metaphorical rubber hitting the road for Macri’s personal ties to the US president, to see if his diplomatic skills can include Argentina as well in this exclusion.