Section 232 Tariffs on Steel and Aluminum

Updated September 26, 2025May 18, 2026 (IN12519)

In 2025, President Trump has expanded and increased existing steel and aluminum tariffs, imposed since 2018 under Section 232 of the Trade Expansion Act of 1962 (19 U.S.C. §1862, as amended). Section 232 authorizes the President to impose trade restrictions if the Secretary of Commerce determines that imports of a good "threaten to impair the U.S. national security." Since June 2025, the United States has imposed 50%The United States imposes tariffs on steel, aluminum, and products containing steel and aluminum ("derivatives") from nearly all trading partners.

Congress may consider possible implicationswhether to exercise its legislative prerogatives related to trade policy and/or monitor potential effects of steel and aluminum tariffs foron the U.S. economy and issues related to congressional trade authorities.

Background

In 2018, President Trump proclaimed a 25% tariff on steel and a 10% tariff on aluminum imports from most trading partners under Section 232 after the Commerce Secretary determined that such imports threaten U.S. national securityfollowing a Commerce Department investigation. In 2020, President Trump expanded the tariffs to include 13 new product codes for steel and aluminum derivatives. The Biden Administration largely maintained these tariffs and, in 2023, increased tariffs on imports of Russian aluminum to 200% in response to Russia's war on Ukraine.

From 2018 to 2022, the United States negotiated country exemptions (see Figure 1)from the tariffs and granted entity-specific exclusions as well as General Approved Exclusions (GAEs) applicable to any importer.

Figure 1. Section 232 Steel and Aluminum Country Exemptions Before March 2025 Eliminated by Proclamations 10895 and 10896

Source: CRS, from various presidential proclamations. With the exception of Ukraine, country exemptions were granted between 2018 to 2022.

2025 Tariff Modifications

In February 2025,Modifications During the Second Trump Administration February 2025. President Trump modified the Section 232 steel and aluminum tariffs, including to

• increase aluminum tariffs to 25%, eliminate all country exemptions (see Error! Reference source not found.), and terminate all existing GAEs effective March 2025;
• prohibit new product exclusions (entity-specific product exclusions to "remain effective until their expiration date or until excluded product volume is imported, whichever occurs first");
• expand the scope of derivatives covered by tariffs (see Figure 2); and
• direct the Commerce Secretary to establish an "inclusions" process to allow U.S. stakeholders to request the addition of steel and aluminum derivatives to the list of products covered by scope of tariffs.

President Trump statedstated that he terminated country exemptions and product exclusions because they "undermine" the tariffs' objectives, such as increasing U.S. production. He also cited concerns about increased imports from exempted countries, and other countries legally or illegally avoiding tariffs by investing in and exporting through exempted countries (sometimes called "transshipment"). Regarding steel, President Trump asserted a lack of "sufficient action" by exempted partners "to address non-market excess capacity caused primarily by China, or sufficient cooperation ... on issues like trade remedies and customs matters or monitoring bilateral steel trade."

In June 2025, President Trump increased

Figure 1. Section 232 Steel and Aluminum Country Exemptions Terminated in March 2025

Eliminated by Proclamations 10895 and 10896

Source: CRS, from various presidential proclamations. With the exception of Ukraine, country exemptions terminated in March 2025 were granted between 2018 to 2022.

June 2025. President Trump increased both steel and aluminum tariffs to 50%, except for imports from the United Kingdom (UK), which face a 25% tariff. Taking into consideration the UK's actions to implement faced a 25% tariff pursuant to the U.S.-UK Economic Prosperity Deal. For most derivatives, Section 232 tariffs applied only to the steel or aluminum content and did not apply to derivatives containing only U.S.-sourced steel or aluminum.

August 2025. Following the first-ever inclusions process, the Commerce Department added more than 400 product codes within the scope of tariffs.

April 2026. President Trump made significant changes to the tariffs, including imposing tariffs on the full value of goods (not just the metal content), lowering/eliminating tariffs for certain derivatives, imposing a 10% tariff on derivatives containing primarily U.S.-sourced steel and aluminum, and eliminating the inclusions process (see Table 1). The White House stated that a reduced tariff rate of 15% on certain industrial and electrical grid equipment through 2027 was aimed at supporting companies' investments in new or expanded U.S. production. The White House asserted that the April 2026 changes strengthen the tariffs and more effectively protect U.S. national security. At a House Ways and Means hearing, U.S. Trade Representative Jamieson Greer stated that the exclusion of some derivatives from tariffs and simplified compliance requirements in the April 2026 proclamation could benefit some U.S. manufacturers that may have been negatively affected by tariffs. Other analyses found that some products may face higher tariffs under the new rules.

Relation to Other Tariffs. Goods subject to Section 232 automotive tariffs are exempt from steel and aluminum tariffs. Temporary global 10% tariffs implemented under Section 122 of the Trade Act of 1974 do not apply to products covered by Section 232 tariffs. Section 232 steel and aluminum tariffs apply in addition to

• most-favored nation (MFN) tariffs imposed on goods from most trading partners without a U.S. free trade agreement (FTA) or which do not meet FTA rules (also called Column 1 duties);
• trade remedies; and
• tariffs under Section 301 of the Trade Act of 1974.

Potential Implications for the U.S. Economy

In 2025, the United States imported $25 billion worth of steel articles—20% less than 2024—and $18 billion worth of aluminum—5% less than 2024 (see Table 2), excluding derivatives. Some U.S. steel and aluminum producers assert that tariffs are critical for boosting U.S. production. Other groups assert that the 2025 tariff expansion has negatively affected U.S. manufacturers. Some groups are seeking further expansion of the tariffs. Some groups support the tariff actions while also emphasizing policy alignment in North America through the U.S.-Mexico-Canada Agreement (USMCA). Currently, Section 232 steel and aluminum tariffs apply to USMCA-compliant goods. Since September 2025, Canada has imposed 25% tariffs on C$15.6 billion (approximately $11 billion) worth of U.S. steel and aluminum imports. Except for the abovementioned U.S.-UK deal and limited exceptions for aircraft-related goods, U.S. bilateral framework agreements have not addressed steel and aluminum tariffs.

Issues for Congress

Some Members support the tariffs and advocate for expanding the President's tariff authorities, including under Section 232the U.S.-UK Economic Prosperity Deal, the Commerce Secretary is to establish a tariff-rate quota to exempt a certain quantity of UK steel and aluminum imports from Section 232 tariffs. The United States and the European Union (EU) have expressed their intent to consider cooperation on steel and aluminum issues, including through potential tariff-rate quotas.

The second Trump Administration has significantly expanded the number of steel and aluminum derivatives covered by tariffs (see Figure 2). In May 2025, the Commerce Department initiated the first inclusions process for steel and aluminum derivatives. In August 2025, Commerce added more than 400 product codes to the previously expanded tariff list. Commerce stated that it will open the inclusions "window" annually in May, September, and January.

Section 232 steel and aluminum tariffs apply in addition to

• most-favored nation (MFN) tariffs, which are imposed on goods from most trading partners without a U.S. free trade agreement (FTA) or which do not meet FTA rules;
• trade remedies;
• tariffs on China under the International Emergency Economic Powers Act (IEEPA); and
• tariffs under Section 301 of the Trade Act of 1974.

Goods subject to Section 232 automotive tariffs are exempt from steel and aluminum tariffs. As of June 4, Canadian and Mexican steel and aluminum products face a 50% tariff but are exempt from IEEPA tariffs on Canadian and Mexican goods.

For most derivatives, Section 232 tariffs apply only to the steel or aluminum content and do not apply to derivatives processed abroad using steel or aluminum originally sourced from the United States. Products covered by Section 232 steel and aluminum tariffs are exempt from global tariffs implemented under IEEPA (IEEPA tariffs apply to the non-steel, non-aluminum content of derivatives).

Some trading partners have announced retaliatory measures. As of September 2025, Canada is imposing 25% tariffs on C$15.6 billion ($11 billion) worth of U.S. steel and aluminum. The EU voted to reimpose previously suspended retaliatory tariffs but suspended them until 2026 following the conclusion of a U.S.-EU framework agreement.

From January to July 2025, U.S. steel and aluminum imports have declined by value, as compared to the same period in 2024 (Table 1). Some U.S. steel producers assert that tariffs are critical for boosting U.S. production and support the expansion of tariffs on derivatives. U.S. aluminum producers have mixed views on the tariffs. Other groups assert that the rapid tariff expansion has created compliance burdens for businesses and may harm U.S. employment in sectors using steel and aluminum.

Issues for Congress

Congress might consider the potential benefits and costs of steel and aluminum tariffs for the U.S. economy, whether U.S. tariff actions achieve stated policy objectives, and whether these actions are consistent with U.S. international trade obligations.

Congress also may consider whether to support or curb presidential authorities related to Section 232. Some Members have praised the tariffs and advocate for expanding presidential trade authorities (e.g., H.R. 735). Others assert (e.g., H.R. 735). Others argue that Congress should play a stronger role in overseeing U.S. trade actions (e.g., S. 348, S. 1272/H.R. 2665, H.R. 1903). Some Members have called for more targeted tariffs or tariff exemptions to mitigate potential adverse impacts on the U.S. economy.

Other Members have called for imposing tariffs on additional steel and aluminum products. Some

Other Members have called for commissioning a reportreports on the potential economic benefits and costseffects of tariffs (e.g., H.R. 2287, H.R. 4326). In 2023, at the direction of Congress, the U.S. International Trade Commission (USITC) analyzed the effects of the Section 232 steel and aluminum tariffs on the U.S. economy.

Figure 2. Estimated Number of Product Codes Covered by Steel and Aluminum Tariffs

Source: CRS, compiled from Presidential Proclamations, Federal Register implementing notices, and the U.S. Harmonized Tariff Schedule (HTS). Notes: Number of product codes added to Section 232 steel and aluminum action, at the 8- or 10-digit level of the HTS. Note, these are estimates, as HTS codes may have been revised over time. Two product codes added in April 2025.

Members also may consider the extent to which Congress should exercise oversight of executive branch-led trade negotiations or whether Section 232 tariffs violate U.S. international trade obligations. For example, Section 232 tariffs were a key issue during the first Trump Administration's negotiation of USMCA, which is scheduled to undergo a review in July 2026. As part of USMCA oversight, Members may assess whether the United States should maintain or eliminate Section 232 steel and aluminum tariffs on Canada and Mexico or exempt USMCA-compliant products. Table 1. Section 232 Tariffs on Steel and Aluminum

April 2026 Revisions

Annex I-A (steel and aluminum articles, certain copper articles, certain steel/aluminum derivatives)	50% tariff on full value 25% tariff on full value of steel and aluminum articles and derivatives from the United Kingdom (UK) composed of at least 95% UK-sourced steel/aluminum (UK-origin steel articles made by Tata Steel UK may count steel from the Netherlands towards the 95% until January 2028) 10% tariff on full value of derivatives composed of at least 95% U.S.-sourced steel, aluminum, and copper
Annex I-B (certain steel/aluminum derivatives, certain copper articles)	25% tariff on full value 15% tariff on full value of steel and aluminum derivatives from the UK composed of at least 95% UK-sourced steel/aluminum (UK-origin steel articles made by Tata Steel UK may count steel from the Netherlands towards the 95% until January 2028) 10% tariff on full value of derivatives composed of at least 95% U.S.-sourced steel, aluminum, and copper
Annex II (items not subject to tariffs)	No Sec. 232 tariff Goods not subject to Sec. 232 duties may no longer be exempt from other tariffs (e.g., those imposed under Sec. 122 of the Trade Act of 1974)
Annex III (items with reduced tariffs until December 31, 2027)	Column 1 duty rate ≥15% 0% Sec. 232 tariff Column 1 duty rate <15% Column 1 duty rate + Sec. 232 tariff = 15% 25% tariff on products from trading partners with whom the United States does not maintain normal trading relations (i.e., Cuba, North Korea, Russia, Belarus) For products composed of at least 95% U.S.-sourced steel/aluminum: Column 1 duty rate ≥10% 0% Sec. 232 tariff Column 1 duty rate <10% Column 1 duty rate + Sec. 232 tariff = 10%
Annex IV (items not subject to tariffs)	Goods in Annex I-B or Annex III that do not contain any aluminum, steel, or copper content are not subject to Sec. 232 duties Goods in Annex I-B or Annex III (except those in HTS chapter 72, 73, 74, or 76) are not subject to Sec. 232 duties if the weight of aluminum, steel, and/or copper is less than 15% of the weight of the imported article Goods not subject to Sec. 232 duties may no longer be exempt from other tariffs (e.g., those imposed under Sec. 122 of the Trade Act of 1974)
Other provisions	0% tariff on certain parts listed in Annex I-B imported for use in motorcycle manufacturing; continued exemption for certain trading partners related to certain civil aircraft and aircraft parts Inclusions processes terminated for steel, aluminum, and copper. The Commerce Secretary and U.S. Trade Representative may jointly determine to add products within the scope of tariffs Russia-specific tariff codes (10%-50% for steel, copper; continued 200% tariff on aluminum)

Source: CRS, summary of key provisions from annexes in Proclamation 11021 of April 2, 2026; U.S. Customs and Border Protection Cargo Systems Messaging Service (CSMS) #68253075, April 3, 2026; and U.S. Department of Commerce, Bureau of Industry and Security, "Notice of Technical Corrections to the Harmonized Tariff Schedule of the United States for Duties Imposed by Presidential Proclamation 11021," 91 FR 23056, April 29, 2026.

Note: In the same proclamation, President Trump also modified copper tariffs. See CRS Insight IN12614, Section 232 National Security Tariffs on Copper Imports.

Table 2. U.S. Steel and Aluminum Imports, 2024 and 2025

Millions of U.S. Dollars

2024

2025

Partner

Value

% Share Total Imports

Value

% Share Total Imports

Steel

Canada

$7,177.9

23%

$4,560.1

18%

European Union

$6,804.2

22%

$5,831.2

23%

Mexico

$3,530.3

11%

$2,238.0

9%

South Korea

$2,938.3

9%

$2,448.8

10%

Brazil

$2,910.4

9%

$2,259.0

9%

All Other

$8,168.5

26%

$7,581.2

30%

Total Steel Imports

$31,529.7

100%

$24,918.3

100%

Aluminum

Canada

$9,440.1

51%

$7,535.4

43%

European Union

$1,540.4

8%

$1,618.3

9%

United Arab Emirates

$1,147.3

6%

$1,512.3

9%

China

$827.1

4%

$528.9

3%

South Korea

$797.8

4%

$1,062.2

6%

Bahrain

$605.7

3%

$671.7

4%

All Other

$4,214.1

23%

$4,568.4

26%

Total Aluminum Imports

$18,572.4

100%

$17,566.0

100%

Source: CRS. General imports data from the U.S. Census Bureau (accessed via Trade Data Monitor, April 23, 2026) using U.S. Harmonized Tariff Schedule (HTS) product codes for "articles of aluminum" and "articles of steel" attached to U.S. Customs and Border Protection CSMS #68253075.

Notes: Table sorted by top import sources in 2024. This table excludes derivative articles. Columns may not sum due to rounding.