Trump Announces Plan to Double Steel and Aluminum Tariffs to 50%

 

Trump Announces Plan to Double Steel and Aluminum Tariffs to 50% U.S. President Donald Trump announced on Friday that he intends to increase tariffs on imported steel and aluminum from 25% to 50%, intensifying the ongoing trade war and putting additional pressure on global steel producers. The move aims to bolster the U.S. steel industry and secure jobs for American workers. Speaking at a rally in Pennsylvania, Trump emphasized that the increased tariffs—scheduled to take effect on Wednesday—will help protect domestic industries. He highlighted a recent deal between Nippon Steel and U.S. Steel valued at $14.9 billion, claiming the tariffs and the agreement will support steel jobs in the United States. Later, Trump confirmed via social media that the new tariffs would also apply to aluminum products. The announcement led to a surge in shares of steel companies such as Cleveland-Cliffs Inc, which jumped 26% after the market close, reflecting investor optimism that higher tariffs would boost profits.

The proposal to double tariffs comes shortly after Trump accused China of violating a prior agreement to roll back tariffs on critical minerals and other trade restrictions. It also marks an escalation in the U.S.’s trade conflicts, especially with allies like Canada and Australia. Canada’s Chamber of Commerce criticized the move as harmful to North American economic stability, while Australia's Trade Minister called it "unjustified" and detrimental to consumers and businesses that rely on free trade. The new tariffs target the U.S.'s status as the world's largest steel importer, with 26.2 million tons of imported steel in 2024. The tariffs are expected to push up steel prices domestically, affecting industries and consumers alike, and are part of a broader trade policy under the Section 232 national security provision.

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