Trump to Reduce Tariff Rates on Steel and Aluminum Products

The administration of the United States is preparing to modify its current steel and aluminum tariff structure, according to sources familiar with the proposal. While the existing 50% tariff on commodity steel and aluminum imports will be maintained, the government plans to reduce duties on derivative products to either 15% or 25%, depending on the specific item. This shift is expected to be finalized through a presidential proclamation as early as Thursday.

The decision to adjust the rates stems from a need to simplify the Section 232 tariff regime established last year. Under the previous rules, the 50% duty applied only to the specific metal content within a finished product, creating significant compliance challenges for importers who had to calculate those specific figures. The new system will apply the lower tariff rate to the total value of the imported derivative product, which includes items such as tractor parts, stainless steel sinks, and gas ranges.