Trump Announces Plan to Double Steel and Aluminum Tariffs to 50%

 U.S. President Donald Trump declared on May 29, 2025, his intention to double tariffs on steel and aluminum imports to 50%, targeting countries like China, Canada, and Mexico to protect American industries.

Speaking at a manufacturing summit in Pittsburgh, Trump said the policy, set to take effect in July 2025, aims to revive domestic production, create jobs, and counter “unfair trade practices.” The move expands his 2018 tariffs, which imposed 25% on steel and 10% on aluminum, sparking trade tensions and retaliatory measures.

The proposed tariffs will apply to all foreign steel and aluminum, with exemptions for allies like Australia under review. Trump argued that China’s overproduction, with 1 billion tons of steel annually, floods global markets, undermining U.S. manufacturers. The policy aligns with his “America First” agenda, promising 50,000 new jobs in rust-belt states like Pennsylvania and Ohio. However, economists warn of higher costs for U.S. consumers, with industries like automotive and construction facing $10 billion in additional expenses annually. Canada and Mexico, which supply 30% of U.S. steel imports, have threatened countermeasures, including tariffs on U.S. agricultural exports.

The announcement has divided stakeholders. U.S. steelmakers like Nucor applauded the move, while the National Association of Manufacturers cautioned against supply chain disruptions. Global markets reacted, with steel futures rising 5% and Canada’s dollar dipping 0.8%. Trump’s tariff plan, requiring Congressional approval, faces scrutiny amid ongoing trade talks with China, set to resume in June 2025. The policy underscores his aggressive economic nationalism, shaping U.S. trade relations in his second term.