US Doubles Tariffs On Steel And Aluminium Imports To 50%.
The United States has announced plans to double its tariffs on steel and aluminium imports from 25% to 50%, effective this Wednesday. President Donald Trump revealed the move at a rally in Pittsburgh, Pennsylvania, citing the need to boost the local steel industry and national supply while reducing reliance on China.
Trump claimed that the increased tariffs would ensure the survival of US Steel, America’s largest steel manufacturer, which is based in Pittsburgh. “At 50%, they can no longer get over the fence,” he said. “We are once again going to put Pennsylvania steel into the backbone of America, like never before.” The President also mentioned a potential partnership between US Steel and Japan’s Nippon Steel, worth $14 billion, which would invest in the area’s steel production.
Trump assured the crowd of steelworkers that there would be “no layoffs and no outsourcing whatsoever” and promised that every US steelworker would soon receive a well-deserved $5,000 bonus. However, he later clarified that he had yet to see or approve the final deal with Nippon Steel.
The announcement has sparked concerns about the impact on global trade, with Canada’s Chamber of Commerce denouncing the tariff hike as “antithetical to North American economic security”. Australia’s government also condemned the move, stating it would “only hurt consumers and businesses who rely on free and fair trade”. The tariff increase comes amid a court battle over the legality of some of Trump’s global tariffs.
US steel manufacturing has been declining in recent years, with China, India, and Japan emerging as the world’s top producers. The country’s reliance on Mexican and Canadian steel has also been a point of contention for Trump. Roughly a quarter of all steel used in the US is imported, and the new tariffs are expected to increase steel prices across the board, affecting industries and consumers alike.