Trump imposes 25% tariffs on steel and aluminum from abroad

President Trump announced foreign steel and aluminum sweeping fees on Monday, pleased metal makers in the home, but first damaged other American industries and ignited a trade war on multiple fronts He has regained his policy from his term of office.

The President has signed two official declarations from all countries that will impose 25% tariffs on steel and aluminum. Speaking from his oval office on Monday evening, Trump is called “a big deal will enrich America again.”

White House officials who were not allowed to speak publicly told reporters on Monday that the move would use tariffs to be on equal footing with other countries. He said it was evidence of his commitment. In contrast to Trump's first term, officials said exclusions for tariffs on American companies that rely on foreign steel and aluminum are not permitted.

The measure was welcomed by domestic steelmakers who have lobbyed the Trump administration for protection against cheap foreign metals.

However, the tariff could rank American allies like Canada and Mexico, which supply the majority of US metal imports. They can also elicit retaliation against US exports or draw pushbacks from the American industry, which uses metal to make cars, food packaging and other products. These sectors face significantly higher prices after tariffs are enforced.

That's what happened in Trump's first term, when the president imposed a 25% tariff on foreign steel and aluminum. Trump and President Joseph R. Biden Jr. ultimately rewind those tariffs to most major metal suppliers, but taxation was often replaced by other trade barriers.

Research shows that Trump's first round of metal tariffs served American steel and aluminum producers, but it hurt the wider economy as it raised prices for many other industries, including the auto sector. was shown.

Steel tariffs followed other intense trade threats. In his three weeks in office, the president has placed tariffs on foreign solar panels, washing machines, metals and more than $300 billion in products from China, which is globally more than he did in his entire first term. It is threatening tariffs.

Since January 20, Trump has placed an additional 10% tariff on all products from China, imposing large amounts of tariffs on Canada and Mexico, and has brought tariff charges to levels not seen since the 1940s. I think so. Together, these moves would have affected more than $1.3 trillion in goods.

Trump also said he has recently planned tariffs on Europe, Taiwan and other governments, as well as a variety of important industries, including copper, steel, aluminum, pharmaceuticals and semiconductors. When he jumped into the Super Bowl to Air Force 1 on Sunday, Trump said he would move forward this week with what is called mutual tariffs.

“In very simple terms, if they charge us, we charge them,” he said.

American steel manufacturers welcomed tariffs. In a statement Sunday, President of the US Steel Institute Kevin Dempsey said the group was “continued commitment to America's strong steel industry, essential to America's national security and economic prosperity.” “He said he welcomed the program.

However, industries that use metals to make other products say that excessively widespread protection hurts them.

“While tariffs and other wide range of trade tools can make America great again, if we put tariffs on tin steel, there are unintended consequences for our country's food security,” it is fruit Make cans for vegetables and vegetables.

United Steelworkers, a member union in Canada, welcomed Trump's efforts to support the industry, but said “Canada is not the issue.”

The new measures will primarily affect US allies. According to the American Steel Institute, Canada was the largest steel supplier to the United States in 2024, followed by Brazil, Mexico, South Korea and Vietnam. Canada is also a major US aluminum supplier, with United Arab Emirates, Russia and China moving away.

In his first term, Trump used a national security clause called Section 232 of the Trade Expansion Act to impose tariffs on foreign steel and aluminum. It angered allies like Mexico, Canada and the European Union, but they said they were not a security threat.

Trump used these tariffs as a negotiation tool. His officials rewind some of the barriers between Canada and Mexico when they reached agreements with Australia, South Korea and Brazil and signed revised trade agreements with the US. The Biden administration later reached agreements with the European Union, the UK and Japan, rolling back some of the trade restrictions.

The US has not imported steel or aluminum directly from China as China's exports have been blocked by various damping and preventive tariffs for a long time. However, some argue that China's excess steel production is still flooding other markets, pushing global prices down.

Brad Sesser, an economist at the Council of Foreign Relations, said that China's steel exports have basically doubled over the past two years, flooding foreign markets, including Asia and Latin America, making it a global economic problem. It was causing the

However, Sesser said there is little evidence that Chinese steel will be routed to the US through Canada or Mexico, damaging the US industry.

“It's pretty difficult to argue that the global spike in China's exports has led to a decline in US production,” he said. “Production in the US is pretty stable.”

After Trump enacted steel tariffs in 2018, US steel imports fell steadily. But that trend was reversed during the pandemic, with explosion furnaces shuttered, supply chains seized, and US steelmakers opened backups later than their Mexican competitors.

Over the past few years, US steel imports have been relatively flat, but have slightly surpassed levels when Trump imposed tariffs in his first term.

US unions and major companies like Cleveland-Cliffs and Us Steel, which affect the government, argue that current protections are insufficient to keep businesses up. Amidst the financial struggle, the iconic Pennsylvania company, US Steel, agreed to be acquired by Japan's Nippon Steel. The merger was blocked by Biden. Biden said he wants our steel to remain an American company.

Advocates of the tariffs argue that the US needs strong metal makers for national defense.

Nazak Nikaftar, a partner at the law firm Wiley Line and first Trump administration official, said the president once again “imposes tariffs and increases tariffs on steel and aluminum imports.” “We are committed to increasing the number of safety. “

However, many economists argue that tariffs on raw materials like steel will damage the economy, as they raise prices for other manufacturers.

For example, a study by the Nonpartisan International Trade Commission found that Trump's previous tariffs encouraged steel and aluminum consumers to buy more American metals. Increased demand has pushed up metal prices and allowed American metal makers to expand, bringing US steel and aluminum production to $22.5 billion in 2021.

However, tariffs have also raised the costs of the industry to purchase steel and aluminum to make other things, such as industrial machinery, car parts, hand tools, and more. Overall, steel and aluminum-consuming industries have reduced production by $3.48 billion as a result of higher costs.

Other industries are concerned that they will be caught up in crossfire and target tariffs, as other countries will retaliate. China imposed retaliatory tariffs on US exports of liquefied natural gas, coal, agricultural machinery and other products on Monday in response to tariffs put into China last week for its role in the fentanyl trade.

Mexico, Canada and the European Union have created a list of all American products that can be attacked with their own taxes in response to US measures.

For example, in response to Trump's first metal tariff, the European Union imposed a 25% tariff on American whiskey. Transactions negotiated by the US and European governments to suspend these tariffs are set to expire immediately. If another agreement is not reached, the European Union is set to double its tariffs to 50% on April 1.

Chris Swanger, chief executive of the US Distillation Spirits Council, said in a statement that tariffs have “devastating consequences” for 3,000 small distilleries across the United States.

“We are urging the US and the EU to move quickly to find a resolution,” Swonger said. “Our great American whisky industry is at risk.”

Colby Smith contributed the report.