Tariffs on steel and aluminum imports to the United States have increased from 25% to 50%, as President Donald Trump has implemented his plan to raise duties on these metals.
National Security Cited as Reason for Increase
Trump signed an executive order on Tuesday to double the tariffs, citing the need to protect national security and support key US industries.
Canadian Prime Minister Mark Carney condemned the tariff hike as both unlawful and unjustified. Canada is actively negotiating with the US to have the tariffs removed under a new economic and security agreement.
UK Exempted as Trade Talks Continue
Imports from the United Kingdom remain subject to the original 25% tariff while the Trump administration and UK officials work out details of a recently announced trade deal.
About 25% of the steel used in the US is imported, with Canada as the largest supplier. Canadian steel and aluminum industries warn that doubling tariffs will severely damage their sectors. Economists also caution that higher tariffs could lead to increased costs for American consumers.
What The Author Thinks
While protecting domestic industries is a valid goal, doubling tariffs to 50% risks sparking retaliatory measures and pushing up costs for American manufacturers and consumers alike. The move could end up hurting the very sectors it aims to support, highlighting the delicate balance between trade protectionism and economic growth.
