U.S. Tariff Increase on Steel and Aluminum Products

Effective June 4, 2025

The U.S. government has announced a tariff increase on steel, aluminum, and derivative products, raising the existing 25% tariff to 50% under Section 232 of the Trade Expansion Act.
This change was formalized through a proclamation by former President Trump and will be effective from June 4, 2025.

Key Points:

Tariff Basis

• The 50% tariff will be applied based on the value of steel and aluminum content within the goods.
• If the specific steel/aluminum value is not clearly detailed in the invoice or supporting documents, the tariff will be applied to the total invoice value of the product.

Scope of Application (based on HTSUS codes)

• Section 232 tariffs apply to products classified under designated HTSUS codes.
• If a product under a covered HTSUS code contains no steel or aluminum, this must be explicitly stated in the Commercial Invoice, including the material composition and confirmation of non-inclusion.
• The tariff applies regardless of the country of origin for all designated Section 232 steel and aluminum products.

De Minimis Threshold

• Shipments valued under USD 800 may qualify for De Minimis exemption, and Section 232 tariffs will not apply.
• However, goods originating from China and Hong Kong are excluded from this exemption and will be subject to tariffs regardless of value or shipping country.

Please ensure all necessary documentation and product declarations are accurately prepared to avoid delays and ensure proper tariff assessment.