The German chamber of commerce said on Wednesday that US import tariffs on steel could trigger a trade war with major trading partners, which analysts say could cut growth in Europe's largest economy by up to 1 percentage point.
US President Donald Trump said on Tuesday he was considering a range of options to address steel and aluminium imports that he said were unfairly hurting US producers, including tariffs and quotas.
Trump's comments were the strongest signal in months that he will take at least some action to restrict imports of the two metals, delivering on his election pledge to put America first and protect US workers from increased foreign competition.
But Martin Wansleben, managing director of Germany's DIHK Chambers of Industry and Commerce, said the introduction of tariffs would eventually burden US consumers through higher prices and could trigger a worldwide trade war.
"With the proposal of new import tariffs, the US government is undermining the positive investment incentives from its tax reform," Wansleben said.
The US is Germany's most important export destination after the rest of the European Union, and exports still account for roughly 40 percent of German...
