Trump raises steel, aluminium levies

Increases foreign metals rate to 50%

- ANA SWANSON IAN AUSTEN

US tariffs on steel and aluminium imports doubled yesterday, as President Donald Trump continued to ratchet up levies on foreign metals that he claims will help revitalise American steel mills and aluminium smelters.

The White House called the increased tariffs, which rose to 50% from 25% just after midnight Eastern time (11 am in Thailand), a matter of addressing “trade practices that undermine national security.” They were announced during Trump's visit to a US Steel mill last week and appear to be aimed at currying favour with steelworkers and the steel industry, including those in swing states like Pennsylvania, where US Steel is based.

The higher levies have already rankled close allies that sell metal to the United States, including Canada and Europe. They have also sent alarms to automakers, plane manufacturers, homebuilders, oil drillers and other companies that rely on buying metals.

In an executive order, Trump said the higher tariffs would “more effectively counter foreign countries that continue to offload low-priced, excess steel and aluminum in the United States market and thereby undercut the competitiveness of the United States steel and aluminium industries.”

Kevin Dempsey, the president of the American Iron and Steel Institute, an industry group, praised the move. He said China and other countries oversupplied the international market, making it harder for US producers to compete. “Given these challenging international conditions that show no signs of improvement, this tariff action will help prevent new surges in imports that would injure American steel producers and their workers,” Mr Dempsey said.