The International Chamber of Commerce (ICC) has urged the US administration and its trading partners to seek alternative means to address the longstanding issue of excess capacity in the steel and aluminium markets.
Recent years have seen a notable decline in trade distorting measures in these sectors and further progress can only be made through enhanced multilateral dialogue, the ICC headquarters said in a statement issued yesterday.
The statement comes in view of growing global trade tensions following the US administration's announcement of plans to impose new duties on imports of steel and aluminium.
Rising trade tensions must not become an excuse for recklessness, said the ICC, urging all governments to act within the bounds of existing World Trade Organisation rules and to commit to accelerated talks under existing international processes.
There will be no winners from a trade war, said the organisation, which has a global network of over six million members in more than 100 countries.
Open markets are, and remain, the key driver of economic growth, prosperity and job creation across the world, said the ICC, describing itself as a promoter of international trade, responsible business conduct and a global approach to regulation.
Families struggling to make ends meet will be the hardest hit by any new tariffs which will inevitably push up prices at the till and restrict consumer choice, it added.
In a globalised world, trade is not a zero-sum game and policy decisions must reflect this reality, said the ICC which also offers dispute resolution services.