SYDNEY: Australia’s central bank chief Wednesday slammed Donald Trump’s decision to levy steel tariffs as “bad policy” and warned of “a very big shock” to the global economy if it sparks retaliation. Reserve Bank of Australia governor Philip Lowe described the US plan as “highly regrettable and bad policy.”“History is very clear here. If it’s just confined to the current higher tariffs on steel and aluminium, then I think it’s manageable for the world economy. Lowe said if the move triggered retaliation and counter-retaliation, “this could turn into a very big shock for the global economy.”Australia’s central bank chief Wednesday slammed Donald Trump’s decision to levy steel tariffs as “bad policy” and warned of “a very big shock” to the global economy if it sparks retaliation. It has not commented on whether it would retaliate directly if the US moved forward with its plans.

Source: New Strait Times March 07, 2018 03:00 UTC