President Donald Trump announced new and expanded tariffs on steel and aluminum imports, continuing his administration’s protectionist trade approach.
The revised tariffs aim to boost domestic manufacturing, reduce reliance on foreign materials, and address trade imbalances.
However, critics warn they could drive up costs for businesses and consumers while escalating tensions with U.S. trade partners. What exactly has changed, and what does it mean for the economy and for you?
1. Higher tariffs mean pricier raw materials
The Trump administration now imposes tariffs on aluminum imports from 10% to 25% while maintaining the existing 25% tariff on steel. These tariffs apply to all countries and remove previous exemptions and alternative trade agreements.
This means that nations that once had lower tariffs—like Canada, Mexico, and the European Union—are now subject to the full 25% duty. The policy is expected to impact manufacturers, construction firms, and industries that rely on imported metals.
Businesses that depend on affordable raw materials may need to rethink their sourcing strategies to remain competitive.
These tariffs could drive up costs for individuals on cars, appliances, and canned goods. As businesses pay more for materials, consumers may see higher prices on everyday essentials.
2. More expensive imports drive up consumer costs
