His proclamation prohibits the relabeling of steel originating in China and Russia from being relabeled in Mexico or Canada.
President Donald Trump recently released a proclamation to boost tariffs on all steel and aluminum imports into the United States under the International Emergency Economic Powers Act in an attempt to curb an import evasion scheme commonly used by China and Russia. The tariffs are set to be implemented March 12.
The president stated, “The [Commerce] Secretary has informed me that the initial 25 percent ad valorem tariff imposed by Proclamation 9705 has been an effective means of reducing imports, encouraging investment and expansion of production by domestic steel producers, and mitigating the threatened impairment of U.S. national security. Following the initial imposition of 25 percent ad valorem tariffs, the U.S. steel capacity utilization rate increased to above 80 percent.“
The previous tariff standards allowed Russia and China to send steel and aluminum manufactured in their countries to American allied nations, like Mexico or Canada, and have their metals relabeled before sending them to the United States. President Trump’s proclamations tighten the “Melt and Pour” standard for steel and the “Smelt and Cast” standard for aluminum, requiring countries to report where these metals were first produced.
“President Trump is standing up for American steel and aluminum workers like no other leader has,” Peter Navarro, a top White House adviser on trade, stated. “Steel and aluminum tariffs 2.0 will put an end to foreign dumping, boost domestic production, and secure our steel and aluminum industries as the backbone and pillar industries of America’s economic and national security.”
As the Lord Leads, Pray with Us…
- For President Trump to be prudent as he updates economic, trade, and import policies and utilizes tariffs.
- For members of the Senate as they continue the confirmation process of the president’s nominee for Commerce Secretary, Howard Lutnick.
Sources: The Hill, The White House
