Updated May 18, 2026 (IN12519)

In 2025, President Trump 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). 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." The United States imposes tariffs on steel, aluminum, and products containing steel and aluminum ("derivatives") from nearly all trading partners. Congress may consider whether to exercise its legislative prerogatives related to trade policy and/or monitor potential effects of steel and aluminum tariffs on the U.S. economy.

Background

In 2018, President Trump proclaimed a 25% tariff on steel and a 10% tariff on aluminum imports from most trading partners following 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 from the tariffs and granted entity-specific exclusions as well as General Approved Exclusions (GAEs) applicable to any importer.

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; and
• direct the Commerce Secretary to establish an "inclusions" process to allow U.S. stakeholders to request the addition of derivatives to the scope of tariffs.

President Trump stated that he terminated country exemptions and product exclusions because they "undermine" the tariffs' objectives, such as increasing U.S. production.

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 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 232 (e.g., H.R. 735). Others argue that Congress should play a stronger role in overseeing U.S. trade actions (e.g., S. 348, 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 Members have called for commissioning reports on the potential economic effects of tariffs (e.g., H.R. 2287, H.R. 4326). In 2023, at the direction of Congress, the U.S. International Trade Commission analyzed the effects of the Section 232 steel and aluminum tariffs on the U.S. economy.

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.