US President Donald Trump on Friday announced plans to double tariffs on foreign steel imports, raising the rate from 25 per cent to 50 per cent in a move aimed at boosting the US steel industry.
Speaking at US Steel’s Mon Valley Works–Irvin Plant in Pennsylvania, Trump said the hike would further protect domestic steel producers and strengthen American manufacturing.
“We are going to be imposing a 25% increase. We’re going to bring it from 25% 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 was quoted as saying by news agency Reuters.
Hitting out at China, Trump said America’s future should be constructed with “the strength and the pride of Pittsburgh,” rather than relying on “shoddy steel from Shanghai.”
The proposed tariff hike, if implemented, could raise costs for industries that rely heavily on steel, including housing, automotive, and construction sectors.
The announcement comes amid Trump’s ongoing calls for stronger trade protections. Since he first imposed tariffs on steel in 2018, prices for steel products have risen nearly 16 per cent, according to government data.
Trump stated that US Steel will remain an American company under a proposed investment deal involving Japan-based Nippon Steel. While the arrangement has been touted as a significant development, few concrete details have been made public.
“We’re here today to celebrate a blockbuster agreement that will ensure this storied American company stays an American company,” Trump declared during an event at a US Steel warehouse near Pittsburgh. “You’re going to stay an American company, you know that, right?”
Despite the fanfare, US Steel has yet to share any updated information about the deal with its investors. Nippon Steel has voiced its support for the proposed “partnership” but has not released specific terms either.
According to state and federal lawmakers who have been briefed on the deal, Nippon would acquire US Steel and invest billions in its operations across Pennsylvania, Indiana, Alabama, Arkansas, and Minnesota.
The structure reportedly includes a leadership team and board dominated by Americans and a special US government veto authority known as a “golden share.”
However, the lack of clarity around the agreement has fueled skepticism. The United Steelworkers union, a long-standing critic of the acquisition, questioned whether the reported changes represent a substantive shift from Nippon’s original plans.
“Nippon has maintained consistently that it would only invest in U.S. Steel’s facilities if it owned the company outright,” the union said in a statement. “We’ve seen nothing in the reporting over the past few days suggesting that Nippon has walked back from this position.”
With inputs from agencies