President Trump issued a Proclamation that expands the 25% tariffs on steel and steel derivatives, first imposed in 2018 under Section 232 of the Trade Expansion Act of 1962. Aluminum and aluminum derivatives will also now face a 25% tariff, up from 10%.
These new across-the-board duties will apply to all countries starting March 12, 2025.
The proclamation also revokes key tariff exemptions that had previously applied to steel and aluminum from the European Union, Japan, and the United Kingdom, as well as to derivative products from multiple countries, including Argentina, Australia, Brazil, Canada, Mexico, and South Korea.
Key Takeaways
- No More Product Exclusions – The Section 232 exclusion process has ended, effective immediately, though previously granted exclusions remain valid until expiration.
- Duties Are Cumulative – The 25% tariff applies in addition to other duties, such as antidumping or Section 301 duties on Chinese imports.
- Turkey Singled Out – Turkey has been specifically targeted with a 50% duty applicable to steel derivatives from that country alone.
- No Duty Drawback – Refunds or exemptions through duty drawback programs will not be available.
- Expanded Product Scope – More steel and aluminum products will be covered under a soon-to-be-released appendix.
- Alternative Agreements Scrapped – Existing trade agreements addressing national security concerns with Argentina, Brazil, Canada, the EU, Japan, Mexico, South Korea, and Ukraine will be terminated.
In light of these sweeping changes, importers should review their supply chains now to assess potential cost impacts.
The full list of affected products is expected to be released in an upcoming appendix.
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