The US is reviewing its tariff policy on steel and aluminum products

The Trump administration is preparing to establish a tiered system for broad tariffs on steel and aluminum products to simplify the process for U.S. companies, Bloomberg reports, citing sources.

The U.S. will maintain 50% tariffs on a large number of steel and aluminum products (the duty will be calculated based on the value of the imported goods). Many other products will be taxed at a lower rate of 25%, and for some goods, the rate will be set even lower than that.

The expected announcement on tariffs comes amid pressure from U.S. companies, which have complained to the Trump administration that broad-based import duties on steel and aluminum derivatives make it difficult to quickly calculate the applicable duties. They noted that this could hurt sales and profits.

Companies and officials had trouble applying tariffs to a large number of goods, including consumer goods, where the metal content was extremely low. If the total steel or aluminum content in a given product is below 15%, the tariff rate will drop to zero, insiders noted.

The Wall Street Journal also reported on plans to impose a 25% tariff on steel and aluminum derivatives. According to the publication, the higher tariff will still apply to products made almost entirely from these metals.

As a reminder, on March 26, the European Parliament gave the green light to the EU-US trade agreement reached last year, albeit with certain conditions. In particular, MEPs voted in favor of a deferral clause, insisting that the new European preferences would take effect only if the United States fulfills its obligations. This includes reducing U.S. tariffs on EU products containing no more than 50% steel and aluminum to a level of no more than 15%.

Furthermore, regarding EU goods with a steel and aluminum content exceeding 50%, if the U.S. does not reduce its tariffs to a level of no more than 15%, the bloc’s tariff preferences for exports of steel, aluminum, and their derivative products from the United States will cease to apply six months after this regulation enters into force.