President Donald Trump imposed a blanket 25% tariff on all steel and aluminum imports Monday, eliminating previous exemptions and sparking immediate pushback from key U.S. trading partners.
The new measures, taking effect March 4, remove country-specific exceptions and product exclusions that had allowed millions of tons of metals to enter the United States duty-free from nations including Canada, Brazil, Mexico and South Korea.
“It’s 25% without exceptions or exemptions. That’s all countries, no matter where it comes from,” Trump told reporters at the White House. The aluminum rate increased from his previous 10% levy.
European Commission President Ursula von der Leyen said the EU would respond with “firm and proportionate countermeasures” to protect its interests. EU steel exports to the U.S. have averaged about 3 billion euros ($3.1 billion) annually over the past decade.
The EU could revive previously suspended tariffs on U.S. products including bourbon, motorcycles and orange juice. Those measures, originally imposed in 2018, are currently suspended until March’s end.
Canadian Prime Minister Justin Trudeau, speaking at the Paris artificial intelligence summit, called the tariffs “unacceptable” and promised a strong response if needed. Canada provides nearly 80% of U.S. primary aluminum imports.
Trump announced plans to implement a North American standard requiring steel to be “melted and poured” and aluminum to be “smelted and cast” within the region, aiming to prevent Chinese and Russian metals from circumventing existing trade restrictions.
The move sent gold prices to a record $2,942.70 in Asian trading Tuesday before settling at $2,909.49, up 0.1% at 0916 GMT.
Steel imports represented approximately 23% of American steel consumption in 2023, according to the American Iron and Steel Institute, with Canada, Brazil and Mexico serving as the largest suppliers.
Trump indicated he would announce reciprocal tariffs on countries imposing duties on U.S. goods in the coming days, adding he’s considering additional tariffs on cars, semiconductors and pharmaceuticals.
Tags: international trade, tariffs, Donald Trump, European Union, Canada, steel industry, aluminum industry, trade policy, global markets, metal imports
