US President Donald Trump has announced the doubling of tariffs on steel and aluminium imports from 25 percent to 50 percent starting Wednesday, aiming to boost the domestic steel industry and reduce reliance on China. Speaking at a rally in Pittsburgh, Pennsylvania, Trump hailed the move as a step to revive America’s steel sector, promising no layoffs and bonuses for steelworkers.

The announcement comes amid fluctuating US trade policy since Trump’s return to office in January. He also revealed plans for a $14 billion investment in local steel production through a partnership between US Steel and Japan’s Nippon Steel, although no final deal has been confirmed. This investment aims to secure the future of US Steel, America’s largest steelmaker, which has faced declining sales and profits in recent years.

Trump emphasised that the 50 percent tariff rate would block steel imports from crossing into the US market unchecked, saying it would restore Pennsylvania steel as a backbone of America. Roughly a quarter of steel used in the US is imported, with Mexico and Canada supplying much of it, which has drawn criticism from Trump. Meanwhile, China, India, and Japan continue to dominate global steel production.

The tariffs have sparked ongoing legal battles over their legality, with some courts allowing the tariffs to remain despite challenges. The levies have also intensified trade tensions between the US and China, leading to a cycle of retaliatory measures that disrupt global markets.

Local steelworkers expressed cautious optimism, hoping the new investment and tariff measures will sustain the industry and preserve jobs. However, many experts warn that while tariffs aim to protect American manufacturing, they also risk economic disruption and retaliation from trade partners.

Trump’s statements also criticised previous plans for a full takeover of US Steel by Nippon Steel, which was blocked by the Biden administration on national security grounds. The new partnership reportedly includes promises to maintain US ownership and control, avoid production cuts for ten years, and grant government oversight.

As the US navigates its trade relationships, these moves underscore the complex balance between protecting domestic industries and maintaining global trade stability. The steel tariffs represent one of Trump’s signature economic tools, now facing legal scrutiny and geopolitical pushback.

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