Repeating an action he took in 2018 during his first term in office, President Trump has announced that he is imposing a 25% tariff on steel and aluminum imports.
In signing the tariff proclamations in the White House, Trump remarked: “This is a big deal, the beginning of making America rich again.”
The action is seeing a 25% tariff on steel from all countries, while increasing the 10% tariff on aluminum he imposed in 2018 to 25%, with no exceptions.
In a press conference, Peter Navarro, the president’s trade adviser, said Trump’s action will “put an end to foreign dumping, boost domestic production, and secure our steel and aluminum industries as the backbone and pillar industries of America’s economic national security.”
Navarro added that the ultimate goal behind the announcement is to ensure that “America never has to rely on foreign nations for critical industries like steel and aluminum.”
While the new tariffs announcement has been mixed in with more aggressive trade policies in general toward China, the U.S. actually gets the majority of its steel from Canada, Brazil, and Mexico, according to the American Iron and Steel Institute.
Similarly, aluminum imports come overwhelmingly from Canada, representing 3.2 million tons. The next largest aluminum imports are from the United Arab Emirates at 347,000 metric tons; and China at just under 223,000 metric tons.
Although the President said the tariffs will ultimately make consumer products in the U.S. less expensive, the average price of steel and aluminum increased by 2.4% and 1.6% respectively after Trump’s first round of tariff increases in 2018, according to the U.S. International Trade Commission.
The new tariffs are set to become effective on March 12.
February 11, 2025
By Garry Boulard
Photo courtesy of Pixabay
