ExecutiveOrdersEO
Proc 10896ProclamationTrump 47 · R

Proclamation 10896

Adjusting Imports of Steel Into the United States

This proclamation terminates all alternative agreements and exemptions from the 2018 Section 232 steel tariffs for Argentina, Australia, Brazil, Canada, EU countries, Japan, Mexico, South Korea, Ukraine, and the United Kingdom, imposing a uniform 25 percent ad valorem tariff on steel articles and derivative steel articles from all countries effective March 12, 2025. It also expands tariff coverage to additional downstream derivative steel articles, immediately terminates the product exclusion process, establishes a new process for adding further derivative products, and mandates stricter customs enforcement and penalties for misclassification or evasion.

Federal Register Open PDF 90 FR 9817

Impact dates

  1. Derivative steel articles tariffs under clause 4 effective upon Commerce certification of adequate collection systems

  2. Secretary issues determination on producer/industry association requests for derivative article inclusion

  3. Secretary establishes process for adding additional derivative steel articles

  4. HTSUS revisions to conform to amendments

  5. Alternative agreements terminated; 25% tariff applies to all countries for steel and derivative steel articles; general approved exclusions terminated; foreign trade zone rules change

  6. Product exclusion process terminates; no new requests considered

Market exposure

Policy exposure mapping — not investment advice. Illustrative public companies are incomplete and not recommendations.

Sectors

Steel & aluminumAutosDefense primesAerospaceShipping & logisticsOil & gas

Mechanisms

TariffBan / prohibition

Role pressure

  • ProtectiveDomestic producer — 25% uniform tariff on all imports, elimination of exemptions and exclusions, expansion to derivative articles protects domestic steel mills from all foreign competition and aims to achieve 80% capacity utilization target
  • AdverseImporter — Previously exempt country suppliers (Canada, EU, Mexico, Japan, UK, South Korea, Australia, Brazil, Argentina, Ukraine) now face 25% tariff; no exclusion relief available; immediate cost increase on March 12, 2025
  • AdverseDownstream manufacturer — Automotive, construction, appliance, machinery manufacturers face 25% cost increase on steel inputs previously sourced from exempt countries; derivative articles expansion extends to fabricated structural steel, prestressed concrete strand,
  • AdverseTrading-partner exporter — Major steel exporters to US lose all preferential access; EU, Canada, Mexico, Japan, UK, South Korea particularly affected; quota countries (Argentina, Brazil, South Korea) shift to tariff regime

Geographies

USCAMXEUJPKRUKAUCN

Exposure dates

  • — Alternative agreements terminated; 25% tariff applies to all countries for steel and derivative steel articles; general approved exclusions terminated; foreign trade zone rules change

Illustrative public companies

Curated watchlist matches by sector/role — incomplete; not a recommendation.

EADSYAirbusAAAlcoaBABoeingCENXCentury AluminumLNGCheniere EnergyCVXChevronCLFCleveland-CliffsCOPConocoPhillipsDACDanaosXOMExxon MobilFDXFedExFFordGEGE AerospaceGEVGE VernovaGDGeneral DynamicsGMGeneral MotorsHONHoneywellHYMTFHyundai MotorLMTLockheed MartinMATXMatsonNOCNorthrop GrummanNUENucorRTXRTXSHELShell

Confidence: high · Policy alerts

Key directives

  • Terminate all alternative agreements with Argentina, Australia, Brazil, Canada, EU, Japan, Mexico, South Korea, UK, and Ukraine effective March 12, 2025
  • Impose 25% ad valorem tariff on all steel articles and derivative steel articles from all countries effective March 12, 2025
  • Expand tariff coverage to additional derivative steel articles listed in Annex I (effective upon Commerce certification of adequate systems)
  • Immediately terminate product exclusion process; revoke Secretary's authority to grant exclusions
  • Terminate all general approved exclusions as of March 12, 2025
  • Establish within 90 days a process for domestic producers/industry associations to petition for inclusion of additional derivative steel articles
  • Require CBP to implement information collection on steel content for derivative articles
  • Direct CBP to prioritize classification reviews, assess maximum penalties for misclassification without considering mitigating factors
  • Revise HTSUS within 10 days of March 12, 2025
  • Prohibit drawback on duties imposed

Who is ordered

Timeline

Immediate

  • Product exclusion process terminated effective immediately (February 10, 2025)
  • No new exclusion requests considered; existing granted exclusions remain until expiration or volume limit
  • Secretary of Commerce to publish Federal Register notice with Annex I

Near term (90d)

  • March 12, 2025: All alternative tariff/quota agreements terminated; 25% tariff applies to steel articles and derivative steel articles from all previously exempt countries (Argentina, Australia, Brazil, Canada, EU, Japan, Mexico, South Korea, UK, Ukraine)
  • March 12, 2025: All existing general approved exclusions terminated
  • March 12, 2025: Foreign trade zone admission rules change to 'privileged foreign status' for covered articles
  • Within 90 days (by May 11, 2025): Secretary to establish process for adding additional derivative steel articles to tariff scope
  • Within 10 days of March 12, 2025 (by March 22, 2025): Secretary to revise HTSUS to conform to amendments

Long term

  • Derivative steel articles tariffs effective upon Commerce certification that adequate collection systems are in place (date uncertain)
  • Ongoing monitoring of imports and potential further expansion of derivative article coverage
  • Potential bilateral negotiations with countries seeking tariff removal based on national security determinations

Risks & tensions

  • Significant trade friction with major allies (Canada, EU, UK, Japan, South Korea, Australia) whose exemptions are eliminated
  • Potential WTO disputes and retaliation against US exports, particularly agriculture and other sectors
  • Supply chain disruption for downstream manufacturers (automotive, construction, appliances) facing 25% cost increase on previously exempt steel
  • Risk of transshipment through non-covered countries or misclassification to evade tariffs; document explicitly acknowledges this risk
  • Uncertainty about timing of derivative articles tariff effective date pending Commerce certification of systems
  • Mexico/Canada integration with USMCA supply chains creates particular tension given automotive and manufacturing interdependence
  • Ukraine exemption termination may create political tensions despite stated intent to not harm recovery
Proclamation 10896: Adjusting Imports of Steel Into the United States · Executive Orders