Trump Restores Section 232 Tariffs on Steel, Aluminum

President Trump has announced significant changes to U.S. tariffs on steel and aluminum imports, set to take effect on March 12, 2025, which will impose a flat 25% tariff on all imports, aligning aluminum tariffs with those on steel. This move marks a departure from previous country-specific agreements that provided exemptions to several allies, including Canada and Mexico, which will no longer be in effect. The policy shift aims to address issues of global overcapacity, particularly from China, and revokes exemptions that had previously allowed nations to evade tariffs. Trump is leveraging Section 232 of the Trade Expansion Act to justify these tariffs as necessary for national security, emphasizing the need to protect American industries from unfair trade practices. Additionally, Trump is exploring the use of the Trade Act of 1930 to impose reciprocal tariffs, which could allow for immediate action against countries with higher import taxes on U.S. goods. This comprehensive approach reflects Trump's broader strategy to prioritize American manufacturing and challenge perceived trade inequities on the global stage.