Last week, U.S. President Donald Trump signed a presidential memorandum that could impose tariffs on up to $60 billion of imports from China after a 30-day consultation period. The White House announced exemption for the EU, Canada, Mexico, Brazil, Argentina, Australia and South Korea. Turkey was not on the list of exempted countries. With global trade balances upside down and fears of a trade war, Turkish steel producers have demanded they be exemption from the tariffs.

Steel Exporters' Association Chairman Namık Ekinci said that Trump has destroyed the balance of world trade with "Section 232."

"Just like the exemption of EU countries from the Section 232, we also want Turkey to be excluded as a part of the customs union. Turkey already meets all the criteria for exemption as proposed by the United States," Ekinci said.

Ekinci wrote in a statement that the Safeguard Measures Investigation, launched by the EU with the intent of protecting the domestic market, will have serious consequences.

Ekinci said they evaluated potential impacts on Turkey of the EU investigation and the measures that need to be taken with the leading representatives of steel industry nongovernmental organizations. "Our common conviction is that Turkey, which is an integral part of the EU, needs to be excluded from this application as it has done its part under the European Coal and Steel Community [ECSC] and the customs union," Ekinci continued, suggesting that just like the U.S. exempted Canada and Mexico from Section 232 under NAFTA, the EU is also expected to exempt Turkey. "In fact, as a member country of the customs union, the EU should give us the opportunity to take action against third countries by positioning us by their side," he added. He said the Turkish steel industry is not a threat to the EU, but a close commercial partner, and there is significant trade between the EU and Turkey.

Ekinci said that in terms of mutual trade within the customs union, exports to the EU amounted to $73.4 billion compared to $85.4 billion in imports. "We are talking about trade in favor of the EU but against Turkey. We have seen balanced foreign trade in steel between Turkey and the EU until today," Ekinci said, recalling that last year Turkey exported 5.6 million tons of steel worth $4 billion to EU countries while importing 5 million tons of steel from the EU worth $4.5 billion. "We believe that this balance in the foreign steel trade should continue from this day forward."

He continued that the EU and Turkey need to act together on common interests, adding that Turkey is an important political and economic partner for the EU and an indispensable part of Europe.

"EU countries' reservations also apply to Turkey. Turkey must also be included in the EU's safeguard measures, and common a

ction should be taken against third countries. In this regard, we think that our government will follow a successful policy," Ekinci said. "We know that contacts have been initiated with the EU. Our expectation is to obtain results as soon as possible and exclude Turkey from this application. In the coming days, we will meet with our sector representatives and the Economy Ministry to evaluate these developments."

Accordingly, the European Union launched a Safeguard Measures Investigation in 26 steel product groups on the grounds that the impact to be created by Section 232 put into effect by the United States will threaten the domestic market. The Turkish steel industry is closely monitoring this new development in the EU, which has an important place in regional exports. Last year, 26 product groups in the investigation constituted 4.6 million tons of Turkey's total steel exports of 5.6 million tons to the EU. During the same period, 5 million tons of steel were also imported from the EU.