Trump rejigs tariffs on steel aluminium and copper; rates on agri equipment fall to 15%

The announcement on Tuesday morning included new rates and an expansion of existing industrial equipment categories. It also sought to incentivise foreign companies by introducing a lower duty rate in certain cases. Details shared by the White House reveal that two new categories of steel and aluminium derivative import ‌products have also been added to the tariff list. Steel racks and aluminium lithographic ‌plates will both be subject to 25% duties.

Rate changes and ‘encouragement’ for foreign companies

According to the Proclamation issued by Trump, tariff rates for agricultural equipment such as combines and harvesters have been adjusted from from 25% to 15%. The White House said this would also apply to “certain other equipment” without elaboration.

The document also expanded the existing category of industrial equipment subject to a 15% tariff — including mobile industrial equipment like bulldozers and forklifts”, when imported from trade deal countries that are entitled to such treatment”.

“The Proclamation encourages foreign companies to use more U.S. steel and aluminum by allowing them to qualify for a 10% duty rate, if their capital equipment include at least 85% U.S. melted and poured or smelted and cast steel or aluminum by weight,” the White House fact sheet added.