A new 50% tariff on steel imports will lead to a resumption of price increases in the United States.
President Donald Trump's doubling of steel import duties under Section 232 of the U.
S. law from 25% to 50% is expected to resume the upward trend in prices that reversed in May.
CME's July and August hot-rolled steel contracts have already exceeded $100 per ton since President Trump announced a rate hike last Friday (May 30). Hot-rolled roll prices are currently expected to rise rapidly and exceed this year's peak price of $900 per roll recorded in April.
During the first quarter, hot-rolled coil prices in the United States increased by almost 40%. The sharp increase occurred due to the fact that domestic steel producers raised their prices amid expectations of a reduction in imports of cheap steel after the full restoration of 25% tariffs under Section 232. However, prices declined in May as many steel buyers took a wait-and-see attitude due to low demand and growing uncertainty about the impact of future tariffs.
- Regular reviews of the steel market in the United States are published in the International Steel Review from the European Parliament. The monthly report provides subscribers with information on steel prices, indexes, market commentary, and forecasts from key global steel markets. Contact the MEPs for detailed information on how to subscribe.
Although the new 50 percent tariff has become the headline news, there are other important aspects of the revised Regulation of aluminum and Steel imports to the United States." A statement released yesterday (June 3) by the White House. These include:
- U.
S. steel imports from the United Kingdom are still subject to a lower 25% tariff as a result of the signing of the U.
S.-British Economic Prosperity Agreement on May 8, 2025. The reduction or cancellation of this rate can be carried out as early as July 9.
- Imports of metal products will be subject to a duty of 50% of the steel content only. All other applicable tariffs, including future reciprocal tariffs, are levied on non-steel goods.
- The procedure for applying duties on car imports from the United States has been changed to further support the steel sector. I if a 25% automobile tariff or a 50% tariff on steel or aluminum has already been charged upon import, then this product will not be charged a 25% tariff that does not meet the requirements of the USMCA.
- The exemption from the "melt and pour" tariff remains in effect. If the imported steel product uses American-made steel, the imported product will not be subject to a 50% tariff.
Foreign countries as the main reason