On Sunday, February 9, aboard Air Force One en route to the Super Bowl in New Orleans, U.S. President Donald Trump told reporters that he would announce new 25% tariffs on all imported steel and aluminum products on Monday. He also plans to present specific details for a reciprocal-tariff scheme on Tuesday or Wednesday, adding that these measures would build on existing steel and aluminum duties.
According to Trump, the United States will “match whatever tariffs other countries impose on us,” and the reciprocal tariffs could take effect as early as this week. During his first term, he imposed a 25% tariff on steel and a 10% tariff on aluminum, later granting duty-free quota exemptions to key trading partners such as Canada, Mexico, and Brazil. These exemptions were further extended under former President Joe Biden to include the United Kingdom, Japan, and the European Union.
U.S. government and American Iron and Steel Institute data show that the main sources of imported steel for the United States are Canada, Brazil, and Mexico, followed by South Korea and Vietnam. In aluminum, Canada accounted for about 79% of U.S. primary aluminum imports in the first 11 months of 2024, while Mexico is a major supplier of aluminum alloys and scrap.
To ensure the United States is treated “on equal terms,” Trump plans to hold a press conference on Tuesday or Wednesday to elaborate on the reciprocal tariff plan. He has frequently criticized what he views as excessive European automobile tariffs—10% on U.S. cars, compared to the U.S. rate of 2.5% on European autos. However, the United States maintains a 25% tariff on pickup trucks, which is highly profitable for Detroit automakers.
World Trade Organization data indicate that the U.S. trade-weighted average tariff rate is about 2.2%, compared to India’s 12%, Brazil’s 6.7%, and the EU’s 2.7%. Trump has repeatedly insisted that “America must regain fairness in its tariff policy,” calling the reciprocal tariff plan one of his clearest and most direct trade-policy approaches.
With this latest move, Trump is looking to shore up industrial competitiveness under his “America First” banner. Still, many economists worry that higher tariffs could push up prices for goods, burden businesses and consumers, and provoke retaliation from U.S. trading partners. The degree to which global partners respond—and how U.S. industries cope—will determine the long-term impact of Trump’s new plan.
