President Trump on Monday adjusted tariffs on some aluminum, copper and steel imports.
In a proclamation, the president lowered tariffs on some aluminum and steel derivative products, including agricultural equipment and certain heating, air conditioning and ventilation systems, from 25 percent to 15 percent.
President Trump initially imposed 25 percent tariffs on aluminum and steel derivative products on April 2. In doing so, he cited Section 232 of the Trade Expansion Act of 1962 — which gives the president the authority to impose restrictions on imports under national security grounds.
The president stated Commerce Secretary Howard Lutnick recommended that he reduce those tariffs, citing “recent circumstances” that “have affected and are affecting” domestic industries that use the aforementioned equipment.
“These products also serve an important role in productive domestic economic activity,” the proclamation states. “For example, American farmers use agricultural equipment to produce the food upon which our Nation relies; construction equipment is essential for the continued reindustrialization of our Nation; and material-handling equipment enables industrial logistics and factory operations.”
Under the order, companies from certain foreign countries can qualify for a 10 percent tariff on products “composed” entirely of aluminum or steel that was melted and poured in the U.S.
That provision applies to companies located in Argentina, Ecuador, El Salvador, Guatemala, Japan, Liechtenstein, South Korea, Switzerland, Taiwan, the United Kingdom and the European Union.
As for Canadian and Mexican products “that qualify for preferential tariff treatment” under the U.S.-Mexico-Canada Agreement on trade, 25 percent tariffs will apply “only to the non-U.S. content” of the product.
“For purposes of this clause, ‘non-U.S. content’ means the total value of the product minus the value attributable to parts produced in the United States,” the proclamation reads.
President Trump first implemented Section 232 tariffs on aluminum and steel imports in 2018, during his first term in office.