Trump doubles steel and aluminum tariffs on Turkey

Trump doubles steel and aluminum tariffs on Turkey

Trump doubles steel and aluminum tariffs on Turkey

President TrumpDonald John TrumpKobach agrees to recuse himself from vote counting in Kansas GOP primary NFL players kneel during national anthem before first preseason game Schiff blasts GOP for Russian Federation probe conduct: "That's how you obstruct an investigation, not how you conduct one" MORE said Friday that the US will also double tariffs on steel and aluminum imported from Turkey as relations between the North Atlantic Treaty Organisation allies worsen.

The slump is attributed to the tensions with the United States and concerns about President Recep Tayyip Erdogan's control of monetary policy.

Turkey fears the fine on Halkbank - a small player by global standards - could follow the precedent of the hefty United States treasury fines levied on German and Swiss banks for sanctions-busting.

The economic spat between the United States and Turkey has continued to escalate today, as the struggling lira currency plunges in value.

The lira hit a record low of 6.24 per dollar on Friday, before recovering to 5.96, down more than 7 per cent on the day.

Turkey's currency has recently plummeted to record lows against the US dollar, after US President Donald Trump hit his Turkish counterpart with devastating sanctions.

I have just authorised a doubling of tariffs on steel and aluminium with respect to Turkey as their currency, the Turkish lira, slides rapidly downward against our very strong dollar!

Turkey said it would respond to the new US tariff action "without delay" and warned the move would further harm relations between the two countries. Financial upheaval there risks further destabilising an already volatile region.

Turkey's currency crisis spilled loudly on to the global stage Friday as other markets, including U.S. stocks, took at hit from concern about financial contagion to other countries and banks.

In a statement, the White House said the president had authorized the preparation of documents to raise tariffs, citing national security concerns.

"Over the years, Turkey rushed to America's help whenever necessary", he said, listing some of occasions the two countries acted together.

Recalling the defeated coup attempt on July 15, 2016 orchestrated by the Fetullah Terrorist Organization (FETO), of which Fetullah Gulen is the ringleader, Erdogan said it was similar to what the American people experienced on two occasions in its history.

Trump announced the action Friday on Twitter.

Although Erdogan struck a defiant tone and warned of "economic war", his foreign ministry called for diplomacy and dialogue to solve problems with Washington and Trade Minister Ruhsar Pekcan said "we implore President Trump to return to the negotiating table". On Friday, he said the country had to take steps in answer "to those who have waged an economic war against us".

Turkey and the United States are now experiencing rocky relations following Washington's imposition of sanctions on Interior Minister Suleyman Soylu and Justice Minister Abdulhamit Gul for not releasing Brunson.

Turkish President Tayyip Erdogan told Turks to sell their gold and dollars to support the crumbling lira. "This is a domestic and national struggle".

"First of all, confidence needs to be regained".

The lira's plummeting value, the potential for debt defaults, the possibility of a balance-of-payments crisis and rising inflation all represent clouds gathering ahead of an economic storm that could batter the country. In response, the currency renewed its sell-off. Hard currency debt issued by Turkish banks suffered similar falls.

Treasury and Finance Minister Berat Albayrak - who is Erdogan's son-in-law - was scheduled later on Friday to outline a "new economic model".

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