The Trump administration is adjusting how Section 232 tariffs on steel, aluminum and copper imports and derivative products are calculated, according to a proclamation President Donald Trump signed Thursday.
Under the new rules, which go into effect April 6, goods made almost entirely of aluminum, steel or copper, including steel coils and aluminum sheets, will face a 50% tariff for the value of the item.
However, derivative articles “substantially made” of steel, aluminum or copper will incur a 25% levy, per a White House fact sheet. Such goods include semi-trailers and trailers, according to a list provided by the White House.
Trump clarified that lower tariff rates will apply for steel and aluminum products from the United Kingdom. Such goods will face a 25% tariff if made almost entirely of the metals while derivative goods will face a 15% levy. Trump also said that the new rules did not alter or supersede prior agreements with trading partners such as the European Union, Japan and South Korea.
Meanwhile, the administration is also setting a 15% tariff rate for “certain metal-insensitive industrial equipment and electrical grid equipment,” as well as a 10% levy for imported goods made entirely with steel, aluminum or copper from the U.S, per the fact sheet. The tariff level for equipment will remain in effect through 2027.
Lastly, the proclamation says that the Section 232 tariffs will no longer apply to goods made with 15% or less steel, aluminum or copper.
Trump first introduced new tariffs on steel and aluminum goods more than a year ago, eventually hiking them to 50%. Meanwhile, copper imports have faced a 50% levy since last August.
For steel and aluminum duties, Trump later expanded the scope of goods covered to include locomotives, motorcycles, truck trailers and certain car parts, as well as numerous household appliances, such as refrigerators, dishwashing machines, stoves and ovens, laundry machines and microwaves.
As part of Thursday’s proclamation, Trump terminated the process he established in previous orders to include additional derivative products to the metal tariffs. Cabinet officials will now determine if additional derivative goods should be included within the scope of the levies on a rolling basis.
Beyond steel, aluminum and copper, Trump has also used Section 232 to enact levies on other goods, such as cars and auto parts, furniture, heavy-duty trucks and buses. His administration is also conducting Section 232 investigations into several other sectors, including commercial aircraft and jet engines, robotics and industrial equipment, and medical devices.
