Trump to Double US Tariffs on Steel and Aluminum to 50%

US President Donald Trump announced plans to raise tariffs on imported steel and aluminum from 25% to 50%, escalating trade tensions with major global partners. Speaking at a rally near Pittsburgh, Trump said the move aims to strengthen the domestic steel industry and protect American jobs.

The announcement came shortly after Trump accused China of breaching an agreement on easing trade barriers for critical minerals. The increased tariffs are expected to take effect on Wednesday and will also apply to aluminum products.

Trump highlighted a recent $14.9 billion deal between Nippon Steel and U.S. Steel, claiming it will support American steelworkers. Investors responded positively, with shares of Cleveland-Cliffs Inc jumping 26%.

However, key US allies were quick to criticize the decision. Canada’s Chamber of Commerce and United Steelworkers union condemned the tariffs, while the European Commission warned of possible countermeasures. Australia’s trade minister also called the move “unjustified.”

The US, the world’s top steel importer (excluding the EU), brought in 26.2 million tons of steel in 2024. Analysts warn that the higher tariffs could raise prices for industries and consumers alike.

Trump is invoking Section 232 of national security law to justify the tariffs, which cover a broad range of metal goods, from cookware to construction materials. The move echoes his previous tariff strategies from his first term in office.