President Trump announced plans on Friday to double tariffs on steel and aluminum imports, raising them from 25% to 50%.
This tariff increase comes at a sensitive time, as nations are involved in trade negotiations, and many businesses are struggling with the unpredictable nature of these levies.
Trump’s announcement also aligns with the “blockbuster” agreement between U.S. Steel and Nippon Steel, a Japanese company, which he claims will prevent layoffs and ensure U.S. control of the steelmaker.
The higher tariffs could further strain relations between the U.S. and its key steel partners, including Canada, Brazil, Mexico, South Korea, and Vietnam. Canada, already facing heightened tensions with the U.S. due to other tariffs, is particularly vulnerable to this latest measure.
Here’s what you need to know about Trump’s doubled tariffs and expert opinions on the matter.
What has Trump said about doubling the steel and aluminum tariffs?
Trump made the announcement at a rally at U.S. Steel’s Mon Valley Works–Irvin Plant near Pittsburgh in West Mifflin, Pennsylvania, surrounded by steelworkers wearing hard hats.
“We’re going to bring it from 25% percent to 50%—the tariffs on steel into the United States of America—which will even further secure the steel industry in the United States,” Trump told the crowd, explaining that the increased tariffs would bolster the domestic industry. “Nobody’s going to get around that.”
He later posted on social media that aluminum tariffs would also be raised. “Our steel and aluminum industries are coming back like never before,” Trump . “This will be yet another BIG jolt of great news for our wonderful steel and aluminum workers.”
However, Wayne Winegarden, a senior fellow at the Pacific Research Institute, contends that the Trump Administration hasn’t adequately explained the rationale behind the specific tariff rates.
“They’ve never given any justification why 25% is the right number, let alone why 50% is,” Winegarden says. “It was just doubled.”
When are the doubled tariffs due to come into effect?
In his Truth Social post, Trump stated that the doubled tariffs would take effect on Wednesday, June 4. However, it’s important to note that other proposed tariffs, such as those on , and most of the “reciprocal” tariffs announced on April 2, have been temporarily suspended for negotiations. It remains to be seen whether an extension will be granted for this new June 4 date.
The shifting dates and rates have created uncertainty for many businesses, although Felix Tintelnot, professor of economics at Duke University, notes that the Administration has generally adhered to announced timelines for steel and aluminum.
He questions the longevity of the 50% rate, citing frequent changes. Tintelnot argues that this uncertainty is harming U.S. businesses and, consequently, workers, despite Trump’s claims that the tariffs will significantly benefit the U.S. steel industry.
“We’re talking about expansion of capacity of heavy industry that comes with significant upfront investments, and no business leader should take heavy upfront investments if they don’t believe that the same policy is there two, three, or four years from now,” Tintelnot says. “Regardless of whether you’re in favor [of] or against these tariffs, you don’t want the President to just set tax rates arbitrarily, sort of by Executive Order all the time.”
How have lawmakers, industry people, and experts reacted?
While Tintelnot agrees that the higher tariffs should benefit the domestic steel industry, he anticipates that other U.S. industries will suffer as a result.
“So, this is expected to raise the price of aluminum, which is important in inputs for downstream industries like the automotive industry, as well as construction, so there’s sort of a distributional conflict here,” Tintelnot warns. “Yes, it does help the domestic steel sector, but [it’s] hurting these other sectors of the economy, and they are already hard hit by other tariffs.”
Winegarden concurs, asserting that the tariffs are counterproductive and will lead to higher consumer prices.
“[Trump is] making it more expensive for domestic auto manufacturers to produce here,” he says. “It’s an economically inconsistent, illiterate policy that seems to be hiding under the
The USW (Unity and Strength for Workers, most commonly referred to as United Steelworkers)—a trade union of steelworkers across North America— said that the increase will negatively affect Canadian industries and jobs.
“This isn’t trade policy—it’s a direct attack on Canadian industries and workers,” said Marty Warren, United Steelworkers national director for Canada. “Thousands of Canadian jobs are on the line and communities that rely on steel and aluminum are being put at risk. Canada needs to respond immediately and decisively to defend workers.”
Meanwhile, Bea Bruske, president of the Canadian Labour Congress, that doubling tariffs is a “direct attack on Canadian workers and a reckless move” and warned that it “could shut Canadian steel and aluminum out of the U.S. market entirely and put thousands of good union jobs at risk.”
Regarding the tariffs in general, Canada’s Prime Minister Mark Carney that he intends to accelerate national building projects across the country to counter Trump’s trade war, “ensuring that the Canadian government becomes a catalyst for, not an impediment to, nation-building projects that will supercharge growth in communities, both large and small.”
Other international lawmakers have also expressed their disapproval of Trump’s tariff increases.
Australia’s Minister for Trade and Tourism that Trump’s doubled charges were “unjustified and not the act of a friend.”
