Additional 232 Tariffs Placed on Finished Steel and Aluminum ProductsAdditional 232 Tariffs Placed on Finished Steel and Aluminum Products
- January 27, 2020
In a statement made on Friday, January 24th, President Trump announced the imposition of an additional 25% tariff on certain steel products—and an additional 10% tariff on certain aluminum products—that will go into effect on February 8th.
The President cited the lack of positive results from existing 232 tariffs, amidst a surge of steel and aluminum imports, as the primary catalyst for the new tariffs.
Here’s what we know:
- 25% tariffs on finished steel products will apply to ALL countries except: South Korea, Mexico, Canada, Brazil, Australia and Argentina.
- 10% tariffs on finished aluminum products will apply to ALL countries except: Mexico, Canada, Australia and Argentina.
- In order for the additional tariffs to apply to finished steel and/or aluminum products, the following conditions must be met:
- The products must demonstrate a recent surge in import volume that is significantly greater than the established 4% import growth rate of all products.
- Whether steel or aluminum, the metals MUST comprise at least 2/3 of the total product cost.
- According to International Trade Today, “Examples of targeted products include steel nails, tacks and corrugated nails and aluminum automobile stampings, aluminum wire and cables.”
Shapiro will continue to monitor the situation and provide updates as they become available.