On Friday, U.S. President Donald Trump announced that he plans to double tariffs on imported steel and aluminum—from 25% to 50%. He made this statement during a rally near Pittsburgh, Pennsylvania. Trump said this move would “further secure the steel industry in the United States” and protect American jobs.
He spoke at the U.S. Steel Mon Valley Works plant, a symbol of America’s past industrial strength. During his speech, Trump also praised a $14.9 billion agreement between Japan and U.S. Steel companies, saying it would help keep jobs in the country.
Later that day, Trump shared on social media that aluminum products would also face the increased 50% tariff, which would go into effect on Wednesday. These tariffs are extra taxes placed on products that come from other countries, making them more expensive. The goal is to encourage companies to buy more goods made in the United States.
Strong Reactions from Businesses and Allies
Following Trump’s announcement, shares of Cleveland-Cliffs Inc, a major U.S. steelmaker, rose sharply—jumping 26% after market hours. Investors seemed to believe that higher tariffs would help American companies compete by raising the cost of imported steel.
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However, not all reactions were positive. In Canada, the tariff hike drew criticism from Candace Laing, president of the Canadian Chamber of Commerce. She said it goes against North America’s economic security and warned that breaking strong trade ties would hurt both countries. Laing said that both countries would face great costs if the efficient, competitive, and reliable cross-border supply chains in steel and aluminum were unwound.
Australia also expressed strong opposition. Don Farrell, Australia’s Trade Minister, said the tariffs were “unjustified and not the act of a friend.” Australia is a close security ally of the U.S., especially in the Indo-Pacific region. Farrell called the tariff increase “an act of economic self-harm” and promised to continue pressing the U.S. to remove them.
What the Tariffs Cover and Why It Matters
The United States is the world’s largest steel importer, outside of the European Union. According to the Department of Commerce, in 2024 the U.S. imported 26.2 million tons of steel. Raising tariffs to 50% will likely push prices up for many products that use it—like cars, buildings, appliances, and tools.
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President Trump used a trade law called Section 232, which allows tariffs if imports are seen as a threat to national security. This rule doesn’t just apply to raw steel and aluminum—it also covers finished products made from these metals. This includes items such as stainless steel sinks, gas stoves, parts for air conditioners, aluminum frying pans, and even horseshoes. In total, 289 types of products fall under this category.
The total value of these imports in 2024 was $147.3 billion. About two-thirds of that came from aluminum and one-third from steel, based on data from the U.S. Census Bureau and the U.S. International Trade Commission.
Trump’s move to raise tariffs follows his earlier decision in January to reintroduce 25% tariffs on most imported steel and aluminum when he returned to office. At one point, he had even considered placing a 50% tariff on Canadian steel but decided against it. Now, the 50% rate is official and will affect a wide range of products.
The announcement came just hours after Trump accused China of breaking a trade deal involving critical minerals. That disagreement appears to have influenced this stronger push in his trade policies.
