The tariffs, imposed under Section 232 of the Trade Expansion Act of 1962, expands the tariff program Trump put in place during his first term in 2018. The revised program ends country-specific arrangements such as full exemptions, quotas or tariff-rate quota schemes; increases the existing 10% aluminum tariff to 25%; and makes the tariff on steel and aluminum applicable to numerous downstream products.

Steel Manufacturers Association President Philip K. Bell called the revised tariff program a major step forward in defending U.S. national, economic, and energy security. 

“The domestic steel industry saw a revival after President Trump first instituted tariffs on steel products. But over time, the impact of those tariffs has lessened because of exemptions and exclusions that chipped away at their effectiveness. As the revised steel tariff goes into effect, President Trump is boldly declaring that America will no longer be a dumping ground for cheap, subsidized foreign steel,” Bell said.

“By closing loopholes in the tariff that have been exploited for years, President Trump will again supercharge a steel industry that stands ready to rebuild America,” he added.  “The revised tariff will ensure that steelmakers in America can continue to create new high-paying jobs and make greater investments knowing that they will not be undercut by unfair trade practices.”

Kevin Dempsey, president and chief executive officer of the American Iron and Steel Institute, agreed that the effectiveness of the original Section 232 tariffs, which allowed American steel producers to restart idled mills, rehire laid-off workers, and begin investing tens of billions of dollars in new and upgraded plants, waned over time.

“Unfortunately, the effectiveness of those measures has been eroded in recent years, and foreign steel overproduction has led to increased dumping of excess foreign steel production onto world markets, as well as widespread transshipment and diversion of steel from third countries,” he said.

“AISI applauds the president’s actions to restore the integrity of the tariffs on steel and implement a robust and reinvigorated program to address unfair trade practices. America must have a sustainable, commercially viable steel industry to meet its national security needs.”

However, the European Union on Wednesday announced tariffs on US$28 billion worth of American goods, beginning next month. 

"The countermeasures we take today are strong, but proportionate. As the United States is applying tariffs worth $28 billion, we are responding with countermeasures worth EUR26 billion," European Commission chief Ursula von der Leyen said in a statement. "The EU must act to protect its consumers and businesses."

Canada, too, announced retaliatory measures, saying that it would impose 25% tariffs on US$20.1 billion worth of U.S. goods, including steel and aluminum products. 

“This is going to be a day-to-day fight. This is now the second round of unjustified tariffs leveled against Canada,” Mélanie Joly, Canada’s foreign affairs minister, said, according to the Associated Press. 

“The latest excuse is national security despite the fact that Canada’s steel and aluminum add to America’s security. All the while, there is a threat of further and broader tariffs on April 2 still looming. The excuse for those tariffs shifts every day.”