US Expands 50% Tariffs to 407 Derivative Product Categories

The United States expanded its steel and aluminum tariffs to cover 407 derivative product categories, with a 50 percent duty on the steel and aluminum content of those goods, effective immediately. The broadened list reaches a wide array of items, from wind turbines and railcars to motorcycles, baby strollers and household appliances, signaling a substantial widening of the government’s use of Section 232 powers to shield domestic producers. In addition to the general 50 percent levy on metal content, there is a country-specific rate applied to the non-steel and non-aluminum portions of the imports. The expansion affects hundreds of billions of dollars in trade, and includes imported parts for automotive exhaust systems and electrical steel used in electric vehicles. Imports from the United Kingdom face a separate 25 percent rate on these items under a related framework that was finalized earlier this year.

The scope of the new tariff list underscores how broadly the administration intends to apply metal content duties beyond traditional raw materials. Among the newly included categories are heavy machinery such as compressors and pumps, as well as components for buses, air...