Log in
Forgot password ?
Become a member for free
Sign up
Sign up
Dynamic quotes 

MarketScreener Homepage  >  Equities  >  Stock Exchange of Hong Kong  >  United Company Rusal Plc    0486   JE00B5BCW814

My previous session
Most popular
News SummaryMost relevantAll newsOfficial PublicationsSector newsTweets

Europe targets U.S. bourbon, bikes, blue jeans for trade riposte

share with twitter share with LinkedIn share with facebook
share via e-mail
03/02/2018 | 08:03pm CEST

BRUSSELS (Reuters) - Europe has drawn up a list of U.S. products from bourbon to Harley Davidson motorbikes on which to apply tariffs if U.S. President Donald Trump follows through on a plan to impose global duties on aluminium and steel.

The European Union is considering applying 25 percent tariffs on $3.5 billion of goods - a third steel, a third industrial goods and a third agricultural - to "rebalance" bilateral trade, EU sources said.

"We will put tariffs on Harley-Davidson, on bourbon and on blue jeans - Levis," European Commission President Jean-Claude Juncker told German television.

"We are here and they will get to know us. We would like a reasonable relationship to the United States, but we cannot simply put our head in the sand."

Trump said on Thursday the United States would apply duties of 25 percent on imported steel and 10 percent on aluminium to protect domestic producers.

The European Commission has called Trump's plan a blatant intervention amounting to protectionism.

The European Commission has said any counter-measures would conform to World Trade Organization (WTO) rules.

Trump tweeted on Friday that trade wars are good and "easy to win".

Brussels will join other countries in challenging the measures at the WTO and says it will also look into safeguards.

Safeguard measures, last deployed in 2002 in response to steel import duties set by then U.S. President George W. Bush, would be designed to guard against a flood of imports resulting from the U.S. tariffs set to be formally announced next week.

However, they would have to apply to selected steel grades from all countries and so would hit producers from China, India, Russia, South Korea or Turkey.

U.S. steel makes up less than 1 percent of EU steel imports.

The EU sees itself as a global counterweight to a protectionism-inclined Trump, sealing a trade deal with Japan, which had been part of a planned trans-Pacific trade alliance Trump withdrew from on his first day in office.

Full-scale retaliation would go against its long-standing message that global trade should be free - as well as fair.

Clemens Fuest, the president of Germany’s Ifo economic institute, told the Bayerischer Rundfunk broadcaster "a clear answer, but a limited one" was required in response.

Data from European steel association Eurofer shows the United States was the destination of about 15 percent of Europe's steel exports in 2017.

The 3.4 million tonnes crossing the Atlantic is about 2 percent of EU steel production. Including tubes, the figure is 5 million tonnes, which Eurofer said could be cut in half by the U.S. measures.

ArcelorMittal, the world's biggest steelmaker with sizeable European and U.S. operations, said it was assessing the likely impact, while adding governments were right to take a tough approach to unfair trade. [nS8N1JX01K]

Turkey's steel exporters association said it did not expect a major impact. Its exports make up more than 5 percent of U.S. steel imports.

Analysts from Jefferies said the actual measures announced next week could be more nuanced than an across-the-board 25 percent tariff for steel, which it said was politically unfeasible and viewed as a direct tax on U.S. consumers.

Europe, they said, was likely to respond quickly with safeguard measures.

BSC analysts said the short-term impact for Russian steel stocks should be limited and said the measures were a "zero issue" for aluminium producer Rusal <0486.HK >.

The Thomson Reuters European steel equities index <.TRXFLDEUPUSTEL> fell 1.7 percent on Friday, while London Metal Exchange aluminium <CMAL3> prices were trading flat at around $2,150 a tonne.

Commerzbank said that even if the United States achieved its goal of reducing imports by implementing steep trade tariffs, the impact should be limited.

"The planned reduction in U.S. imports accounts for only just shy of 3 percent of global imports in the case of aluminium. The equivalent figure for steel is only roughly 1.5 percent," said the bank.

(Reporting by Philip Blenkinsop, Ceyda Caglayan in Istanbul, Robert-Jan Bartunek in Brussels, Sujata Rao-Coverley and Maytaal Angel in London, Polina Devitt in Moscow, Andrea Shalal in Berlin; Editing by Toby Chopra and John Stonestreet)

By Philip Blenkinsop

Stocks treated in this article : Harley-Davidson, United Company Rusal Plc, ArcelorMittal
Stocks mentioned in the article
ChangeLast1st jan.
ARCELORMITTAL 3.93% 26.95 Delayed Quote.-4.37%
HARLEY-DAVIDSON 2.00% 45.3 Delayed Quote.-12.79%
UNITED COMPANY RUSAL PLC 5.67% 2.05 End-of-day quote.-62.73%
share with twitter share with LinkedIn share with facebook
share via e-mail
09/06EXCLUSIVE : Customers to shun Rusal at Berlin 'mating season' for 2019 aluminum ..
09/04Alcoa braces for alumina strike vote in Western Australia
08/28UNITED RUSAL : Russia may buy aluminium for state stocks to support Rusal - mini..
08/17UNITED RUSAL : Rusal says board backs change of domicile to Russia
08/15UNITED RUSAL : Sen. Warren Investigation Forces Trump Administration to Reverse ..
08/09UNITED RUSAL : US Sanctions Put Russia on Edge
08/09UNITED RUSAL : 'Catastrophic' shutdowns expected at Rusal if U.S. sanctions rema..
08/06UNITED RUSAL : Rusal interim net up 103% to US$952m; no div
08/06UNITED COMPANY RUSAL PLC : Half-year results
08/01UNITED RUSAL : Treasury Extends Wind-Down Period for United Company RUSAL PLC
More news
News from SeekingAlpha
2017United Company Rusal PLC reports Q1 results 
2017United Company Rusal PLC reports Q4 results 
2017UC Rusal Proposes An OPEC Of Aluminum To Somehow Contain Chinese Production 
2016Aluminum, Stick Or Twist, Bubble Or Burst 
2016United Company Rusal PLC reports Q3 results 
Financials ($)
Sales 2018 10 175 M
EBIT 2018 1 956 M
Net income 2018 2 480 M
Debt 2018 6 305 M
Yield 2018 11,5%
P/E ratio 2018 2,69
P/E ratio 2019 2,29
EV / Sales 2018 1,01x
EV / Sales 2019 0,89x
Capitalization 3 971 M
Duration : Period :
United Company Rusal Plc Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends UNITED COMPANY RUSAL PLC
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus OUTPERFORM
Number of Analysts 3
Average target price 0,85 $
Spread / Average Target 225%
EPS Revisions
Evgeny Nikitin CEO, Director & Director-Aluminum Division
Vladislav Aleksandrovich Soloviev President
Artur Matthias Warnig Independent Non-Executive Chairman
Oleg Mukhamedshin Director-Strategy & Financial Markets
Victor Mann Director-Technical
Sector and Competitors