Trump raises tariffs on steel and aluminum imports to the US to 50%

US President Donald Trump has raised duties on steel and aluminum imports from 25% to 50%, effective from June 4.

The relevant proclamation is posted on the White House website. This step is called necessary to protect national security.

As noted, although the previously imposed tariffs on steel and aluminum have helped provide critical price support in the US market, they have not yet allowed these industries to develop and maintain the rate of utilization of production capacity necessary for sustainable health and projected national defense needs.

“The increase in the previously imposed tariffs will provide greater support to these industries and reduce or eliminate the threat to national security posed by imports of steel and aluminum products and their derivatives,” the proclamation says.

According to the document, duties on metals imported from the UK will remain at the previous level of 25%, with possible changes or quotas starting on July 9, depending on the status of the agreement between the parties.

The US imports about a quarter of the steel used in the country. The increase in duties will hit the United States’ closest trading partners, Canada and Mexico, particularly hard.

Canadian Prime Minister Mark Carney’s office said the country is engaged in intensive and active negotiations to eliminate these and other tariffs. This week, Mexico will ask the Trump administration to exempt it from raising steel tariffs by up to 50%, Economy Minister Marcelo Ebrard said. The country plans to present its arguments on June 6. Ebrard also noted that Mexico has a “plan B” in case the increased duty remains in effect, Bloomberg reports.

As a reminder, on May 30, the US President announced at the US Steel plant in Pennsylvania that he would set tariffs on steel imports to the United States at 50%, doubling the current rate to protect the country’s steelmakers. The announcement was welcomed by the American Iron and Steel Institute (AISI) and the American Steel Association. They cited the growth of global overcapacity led by China and the need to protect the US market.

The doubling of US tariffs on steel imports will put enormous pressure on the European steel industry, the German steel association WV Stahl said. Canadian steel producers have previously called for an immediate response to the increase in US tariffs to 50%.