US Imposes 25% Tariffs on Steel and Aluminum Imports

President Donald Trump has enacted 25% tariffs on all steel and aluminum imports to the U.S., signing an executive order that puts new restrictions on critical manufacturing materials. The order reinstates a 25% tariff on steel, which was in place in 2018 during President Trump's first term, and raises tariffs on aluminum to 25%, with some exceptions.

"This is a big deal — making America rich again," President Trump said.

The order also seeks to establish new production standards for steel and aluminum made in North America, aimed at preventing the import of Chinese metals into the U.S. The order ends clauses that excluded certain products from import taxes and directs Customs and Border Protection to increase oversight of imports to ensure compliance.

"“For too long, foreign governments have subsidized their steel and aluminum and as well industries while flooding our markets with underpriced imports. President Trump’s steel and aluminum tariffs 2.0 will ensure that American producers can compete on a level playing field once again," a senior administration official said.

The tariffs are set to take effect on March 4, relying on the same rules known as Section 232 investigations that allow the President to restrict certain imports that have been determined to potentially threaten national security. A White House official stated, "This EO effectively tightens up the tariffs implemented from the last 232 investigation by eliminating exemptions and closing loopholes."

Trade groups were critical of the decision, warning that tariffs and retaliation against them may increase manufacturing costs for Americans.

"We have been clear about the damage that tariffs on critical manufacturing inputs will inflict on equipment manufacturers and the 2.3 million men and women who build equipment in America," said Association of Equipment Manufacturers Senior Vice President Kip Eideberg. "The mere threat of tariffs has already contributed to higher input prices, disrupted supply chains, and created uncertainty for equipment manufacturers."

President Trump has also announced plans to impose reciprocal tariffs, which would be placed on imported goods in response to other countries' tariffs on U.S. goods, later in the week.

"If they are charging us 130% and we’re charging them nothing, it’s not going to stay that way," he said on Sunday.