Changes to Section 232 tariffs on steel, aluminum and Copper in place
Changes to Section 232 tariffs on steel, aluminum, and copper were enacted Monday following a proclamation signed by President Donald J. Trump earlier this month.
“This is a significant change for importers of parts and components that contain these metals,” according to a blog from the Autocare Association.
It notes that tariff rates range from 0% to 50% depending on how the product is classified. Some products were added to the scope and many derivatives were moved to lower rates while others were removed entirely.
The proclamation organizes tariffs across five annexes, the organization says.
Annex 1-A has a full customs value with a 50% tariff, Autocare Association says. This covers primary steel, aluminum, and copper articles plus certain closely related derivatives.
Examples include steel coils, aluminum sheet, structural steel, wire, and cable.
Annex 1-A products from the United Kingdom are subject to a 25% tariff.
Annex-B includes a full customs value of 25% and covers a broad range of downstream derivative products including household articles, certain motor vehicle parts, vehicles and trailers, bearings, machinery, and insulated electrical conductors, the blog says.
Products from the United Kingdom are subject to a 15% tariff.
Annex II products have been removed from the Section 232 scope, the blog says. This includes chemicals, certain motor vehicle parts, and seating components.
Annex III has a temporary 15% combined rate through Dec. 31, 2027. It applies to metal-intensive industrial equipment and electrical grid equipment. These products move to a 25% rate under Annex 1-B after 2027.
Annex IV carries a 15% de minimis threshold and applies to products if the metal content is at least 15% of the product’s total weight.
The proclamation also terminates the derivatives inclusion process, the blog says. This included Federal Register notices and formal public comment procedures.
The Secretary of Commerce and the U.S. Trade Representative now have joint authority to add new derivative articles to the scope on a rolling basis.
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