Business
Trump Imposes 25% Tariffs on Steel and Aluminum From Foreign Countries
President Trump announced sweeping tariffs on foreign steel and aluminum on Monday, re-upping a policy from his first term that pleased domestic metal makers but hurt other American industries and ignited trade wars on multiple fronts.
The president signed two official proclamations that would impose a 25 percent tariff on steel and aluminum from all countries. Mr. Trump, speaking from the Oval Office on Monday evening, called the moves “a big deal.”
“It’s time for our great industries to come back to America,” the president said.
A White House official who was not authorized to speak publicly told reporters on Monday that the move was evidence of Mr. Trump’s commitment to use tariffs to put the United States on equal footing with other nations. In contrast with Mr. Trump’s first term, the official said, no exclusions to the tariffs for American companies that rely on foreign steel and aluminum will be allowed.
The measures were welcomed by domestic steelmakers, who have been lobbying the Trump administration for protection against cheap foreign metals.
But the tariffs are likely to rankle America’s allies like Canada and Mexico, which supply the bulk of U.S. metal imports. They could also elicit retaliation on U.S. exports, as well as pushback from American industries that use metals to make cars, food packaging and other products. Those sectors will face significantly higher prices after the tariffs go into effect.
That is what happened in Mr. Trump’s first term, when the president levied 25 percent tariffs on foreign steel and aluminum. While Mr. Trump and President Joseph R. Biden Jr. eventually rolled back those tariffs on most major metal suppliers, the levies were often replaced with other trade barriers, like quotas on how much foreign metal could come into the United States.
Studies have shown that while Mr. Trump’s first round of metal tariffs helped American steel and aluminum producers, they ended up hurting the broader economy because they raised prices for many other industries, including the auto sector.
The steel tariffs followed other intense trade threats. In his three weeks in office, the president has already threatened more tariffs globally than he did in his entire first term, when he imposed tariffs on foreign solar panels, washing machines, metals and more than $300 billion of products from China.
Since Jan. 20, Mr. Trump has put an additional 10 percent tariff on all products from China, and came within hours of imposing sweeping tariffs on Canada and Mexico that would have brought U.S. tariff rates to a level not seen since the 1940s. Together, those moves would have affected more than $1.3 trillion of goods.
Speaking from the Oval Office on Monday, Mr. Trump said his steel tariffs were “the first of many” to come. He said his team would be meeting over the next four weeks to discuss tariffs on cars, pharmaceuticals, chips and other goods.
Mr. Trump said on Sunday that he also planned to move forward this week with so-called reciprocal tariffs, which would raise certain U.S. tariff rates to match those of foreign countries.
American steelmakers welcomed the tariffs. In a statement on Sunday, Kevin Dempsey, the president of the American Iron and Steel Institute, said the group welcomed Mr. Trump’s “continued commitment to a strong American steel industry, which is essential to America’s national security and economic prosperity.”
But industries that use metals to make other products said overly broad protections would hurt them.
“Tariffs and other broad trade tools can make America great again, but there are unintended consequences for our nation’s food security when a tariff is placed on tin-plate steel,” said Robert Budway, the president of the Can Manufacturers Institute, which represents companies that make cans for fruits and vegetables.
The United Steelworkers union, which has members in Canada, said that it welcomed Mr. Trump’s effort to help the industry but that “Canada is not the problem.”
The new measures will mainly affect U.S. allies. The largest supplier of steel to the United States in 2024 was Canada, followed by Brazil, Mexico, South Korea and Vietnam, according to the American Iron and Steel Institute. Canada is also a major supplier of aluminum to the United States, followed distantly by the United Arab Emirates, Russia and China.
Late Monday, the governments of Canada, Mexico and Brazil had yet to respond to the tariffs. Brazil’s government said it did not have a response to Mr. Trump’s announcement of steel tariffs because it had not yet received any official communication from the U.S. government on the issue.
In his first term, Mr. Trump levied tariffs on foreign steel and aluminum using a national security provision called Section 232 of the Trade Expansion Act. That angered allies like Mexico, Canada and the European Union, which said they were not a security threat.
Mr. Trump used those tariffs as a negotiating tool. His officials reached agreements with Australia, South Korea and Brazil, and rolled back some of those barriers on Canada and Mexico when they signed a revised trade agreement with the United States. The Biden administration later reached agreements with the European Union, Britain and Japan to roll back some of their trade restrictions.
The United States imports very little steel or aluminum directly from China, since Chinese exports have long been blocked by a variety of anti-dumping and anti-subsidy tariffs. But some argue that China’s excess steel production is still flooding other markets and pushing down global prices, leaving U.S. metal makers at a disadvantage in other markets.
Brad Setser, an economist at the Council on Foreign Relations, said Chinese steel exports had basically doubled over the past two years and were creating economic issues globally as they flooded foreign markets, including in Asia and Latin America.
But Mr. Setser said he saw little evidence that Chinese steel was being routed into the United States through Canada or Mexico and undermining the U.S. industry.
“It’s pretty hard to make the case that the surge in Chinese exports globally has triggered a reduction in U.S. production,” he said. “U.S. production has been fairly stable.”
After Mr. Trump put steel tariffs into effect in 2018, U.S. steel imports steadily declined. But that trend reversed during the pandemic, when blast furnaces shuttered and supply chains seized up, and U.S. steelmakers were slower than competitors in Mexico to open back up, Mr. Setser said.
In the last few years, U.S. steel imports have been relatively flat, though they are slightly above the level when Mr. Trump imposed tariffs in his first term.
U.S. unions and major companies like Cleveland-Cliffs and U.S. Steel, which are influential with government, have argued that current protections are insufficient to keep them in business. Amid its financial struggles, U.S. Steel, the iconic Pennsylvania company, agreed to be acquired by Nippon Steel of Japan. That merger was blocked by Mr. Biden, who said he wanted to U.S. Steel to remain an American company.
Supporters of the tariffs have argued that the United States needs strong metal makers for its national defense.
Nazak Nikakhtar, a partner at the law firm Wiley Rein and an official in the first Trump administration, said the president was again “making good on his promise to impose tariffs globally and to increase tariffs on steel and aluminum imports, given their criticality to national security.”
But many economists argue that tariffs on raw materials like steel will hurt the economy, since they raise prices for other manufacturers.
A study by the nonpartisan International Trade Commission, for example, found that Mr. Trump’s earlier tariffs encouraged consumers of steel and aluminum to buy more American metals. The increase in demand pushed up metal prices and allowed American metal makers to expand, resulting in $2.25 billion of additional U.S. production of steel and aluminum in 2021.
But the tariffs also raised costs for industries that buy steel and aluminum to make other things, like industrial machinery, car parts and hand tools. Altogether, industries that consume steel and aluminum saw their production shrink by $3.48 billion as a result of the those higher costs — more than offsetting what the steel and aluminum makers had gained.
Other industries are concerned about being caught in the crossfire and targeted with tariffs as other countries retaliate. China imposed retaliatory tariffs on U.S. exports of liquefied natural gas, coal, farm machinery and other products on Monday in response to the tariffs Mr. Trump put on China last week because of its role in the fentanyl trade.
Mexico, Canada and the European Union have all drawn up lists of American products they could strike with their own levies in response to U.S. measures.
In response to Mr. Trump’s first metal tariffs, for example, the European Union imposed a 25 percent tariff on American whiskey. A deal negotiated by the American and European governments to suspend those tariffs is set to expire soon. If another agreement is not reached, the European Union is set to double that tariff to 50 percent on April 1.
Chris Swonger, the chief executive of the Distilled Spirits Council of the United States, said in a statement that the tariff would have a “catastrophic outcome” for 3,000 small distilleries across the United States.
“We are urging that the U.S. and E.U. move swiftly to find a resolution,” Mr. Swonger said. “Our great American whiskey industry is at stake.”
Colby Smith and Norimitsu Onishi contributed reporting.
Business
U.S. Targets Iran’s Missile and Drone Program With Sanctions
The United States on Friday announced a flurry of new sanctions intended to increase pressure on Iran’s economy, targeting people and companies in China and Hong Kong that have been helping the Iranian military gain access to supplies and war equipment.
The sanctions came ahead of a major summit between President Trump and China’s leader, Xi Jinping, in Beijing next week. China’s support for Iran has become a flashpoint with the Trump administration, which has been trying to compel independent Chinese refineries to stop purchasing Iranian oil.
China is Iran’s biggest buyer of oil, and the Trump administration has said that it is sponsoring terrorism by propping up the Iranian economy.
The new sanctions are aimed at Iran’s military industrial supply chain, and are intended to make it harder for Iran to secure access to the material it needs to build drones and missiles. In addition to China, the sanctions also target people and companies based in Belarus and the United Arab Emirates.
“Under President Trump’s decisive leadership, we will continue to act to keep America safe and target foreign individuals and companies providing Iran’s military with weapons for use against U.S. forces,” Treasury Secretary Scott Bessent said in a statement.
The Trump administration has been looking for ways to squeeze Iran’s economy and pressure the Iranian government to reopen the Strait of Hormuz, a conduit for the flow of global oil. Oil tankers have had sporadic access to the critical waterway since the war started earlier this year, and the United States and Iran have been fighting over who should control it.
U.S. warships that have been trying to transit the strait have been attacked by Iranian forces. The United States on Friday fired on and disabled two Iranian-flagged oil tankers as they tried to reach an Iranian port.
The Treasury Department has also imposed sanctions on the Chinese “teapot” refineries this month. The independent refineries are major purchasers of Iranian oil. But China invoked a domestic policy ordering its companies to disregard the sanctions.
Mr. Bessent said earlier this week that he expected Mr. Trump to urge Mr. Xi to use the country’s leverage over Iran to pressure it to allow oil cargo to travel.
“Let’s see if China — let’s see them step up with some diplomacy and get the Iranians to open the strait,” Mr. Bessent told Fox News on Monday.
Business
General Motors to pay $12.5 million to settle claims that it illegally sold California driver data
General Motors has agreed to pay $12.5 million dollars to settle claims that the automaker illegally sold location and driving data of hundreds of thousands of Californians, state officials said Friday.
The settlement is an example of how automakers are facing more scrutiny over allegations that they share driver data with the insurance industry, influencing how much people pay for coverage. California, though, has a law that bars insurers from using driving data to set rates.
“If we get word that a company is illegally collecting, storing or selling consumer data, we won’t hesitate to look under the hood and hold them accountable to the law,” California Atty. Gen. Rob Bonta said in a news conference.
The settlement is the largest California Consumer Privacy Act penalty in the state’s history, Bonta said.
The act gives California consumers the right to request that businesses disclose what data they collect. They can also opt out of the sharing or sale of their personal information and request that businesses delete their data.
Investigators found that from 2020 to 2024, GM sold driver data, including names, contact information, location data and driving behavior data, to data brokers Verisk Analytics Inc. and LexisNexis Risk Solutions. The data came from a driver’s use of OnStar, which is owned by GM and provides roadside assistance, navigation and other services.
GM said the agreement addresses a product called OnStar Smart Driver that the company discontinued in 2024. The product was meant to help improve people’s driving but faced privacy concerns from consumers. In 2024, GM also ended its partnership with the two data brokers and said it would enhance privacy controls.
“Vehicle connectivity is central to a modern and safe driving experience, which is why we’re committed to being clear and transparent with our customers about our practices and the choices and control they have over their information,” a GM spokesperson said in a statement.
Various district attorneys throughout the state, including in Los Angeles and San Francisco, were involved in the investigation and settlement.
Technology has been playing a bigger role in the auto industry, but the data collected from drivers can reveal personal information about people’s daily habits, including where they drop off their kids and doctor visits.
The California Privacy Protection Agency in 2023 started investigating the privacy practices of connected cars. As the state was looking into the automakers, the New York Times reported in 2024 that GM was sharing consumer driving behavior with insurance companies. Nationwide, GM reportedly made roughly $20 million from selling data to Verisk and LexisNexis.
The state’s privacy protection agency has taken action against other automakers before. Ford Motor Company was fined $375,703 in March and Honda was fined $632,500 in 2025 for privacy violations.
Under the GM settlement, which still needs court approval, the automaker would delete any driving data the company kept within 180 days and request that the two data brokers do the same. They would also stop selling driving data to consumer reporting agencies for five years and develop a privacy program that includes assessing and mitigating the risks of data collected from OnStar.
California’s settlement with GM came after the Federal Trade Commission in 2025 also took action against the automaker and OnStar for its privacy practices, barring them from disclosing location and driver behavior data to consumer reporting agencies for five years.
Business
Trump’s Latest Tariff Setback Looms Over China Talks
A day after a federal court ruled against President Trump’s latest global tariffs, his administration returned to the drawing board on Friday, trying to preserve its powers to wage economic warfare in time for high-stakes trade talks with China.
The latest legal blow concerned the 10 percent tariff that Mr. Trump imposed in late February on nearly all U.S. imports. The president unveiled that policy as a sort of temporary fix, after the Supreme Court tossed out his initial duties, but a panel of judges once again found that the White House had run afoul of the law.
The result was a familiar set of headaches for Mr. Trump, who has tried repeatedly — and with mixed success — to stretch his authority to tax imports without the express permission of Congress. By Friday, one of the president’s top aides signaled that an appeal was imminent, echoing the president, who told reporters shortly after the ruling that he would simply “do it a different way.”
Technically, the Court of International Trade only declared the president’s across-the-board, 10 percent tariff to be illegal. Otherwise, it did not issue an order forcing the government to stop collecting it from all importers, at least for now. Still, the outcome marked both a political and legal setback for Mr. Trump, who had spent much of the week issuing trade threats against Europe and preparing for talks in China.
Tariffs are expected to be a major topic on the agenda when Mr. Trump travels to Beijing to meet next week with his counterpart, Xi Jinping. Trade experts said the court decision could undercut the president’s leverage. Eswar Prasad, a professor of economics at Cornell University, said the ruling “severely handicapped” the administration’s ability to employ tariffs against foreign nations, leaving Mr. Trump with a “much weaker bargaining hand” when it comes to China.
“Any threats by Trump to hit China with broader and higher tariffs if Xi doesn’t bend to his will on economic and geopolitical matters now seem like empty bluster rather than credible ultimatums,” he said.
One of the president’s top trade advisers, Jamieson Greer, appeared to brush aside some of those concerns on Friday. During an interview on Fox Business, he criticized the court for ruling against the White House, claiming that some of the judges on the panel were “apparently just hellbent on importing more from China.”
Mr. Greer, who defended the president’s use of trade powers, added that the administration is “confident on appeal we’ll be successful.”
At the heart of the matter is Mr. Trump’s decision to invoke a trade power that no president had ever used. Known as Section 122 of the Trade Act of 1974, it permits the president to impose tariffs up to 15 percent for 150 days, but only in response to strict conditions, including a “balance of payments” crisis.
The term itself reflects a bygone concern from the time the law was adopted, when the U.S. dollar was pegged to gold, creating unique economic risks. But the Trump administration sought to argue that the law still applied today, pointing in part to the country’s persistent trade deficit, a different measurement, which reflects the gap between U.S. imports and exports.
In the end, a majority of judges on the Court of International Trade found the argument unpersuasive and sided with small businesses and states that had sued. It marked the second time that some of those challengers had prevailed against Mr. Trump, after they convinced the Supreme Court to invalidate his earlier use of emergency powers to impose withering tariffs.
The new decision raised the odds that the administration could soon have to pay back the billions of dollars collected from its 10 percent tariff, on top of the $166 billion that the government already owes to U.S. importers from its last legal defeat. But the fight appeared far from over, and much remained uncertain by Friday — not just for American businesses, which paid the cost to import goods, but for the Trump administration itself.
“President Trump has lawfully used the tariff authorities granted to him by Congress to address our balance of payments crisis,” Kush Desai, a White House spokesman, said in a statement. “The Trump administration is reviewing legal options and maintains confidence in ultimately prevailing.”
For one thing, the court only appeared to bar the collection of the president’s 10 percent tariff for some of the plaintiffs that sued, many legal experts said. That raised the odds that droves of U.S. businesses could soon mobilize and “file a court case” of their own asking for similar relief, said Ted Murphy, a top trade lawyer at the law firm Sidley Austin. He added that he also expected the trade court to pause implementation of its order pending an appeal.
The timing is important to Mr. Trump, who had always envisioned his across-the-board tariff as a stopgap that would allow the government time to prepare a set of more lasting rates using another set of authorities, known as Section 301. But that process was widely expected to take months, since the law requires the government to conduct investigations into other countries’ trade practices before Mr. Trump can apply new duties.
Those inquiries targeting dozens of countries are well underway, and the president at times has suggested the final rates could be set at new highs. Some experts believe the tariffs imposed using Section 301 could be more legally durable, though the administration could still face lawsuits over his aggressive use of the law.
Michael Lowell, the chair of the global regulatory enforcement group at the law firm Reed Smith, said the White House probably would not have to worry about “a broad attack on that authority.” But, he said, the courts had recently drawn something of a line in the sand, suggesting they would be “very skeptical of the administration looking to the past and finding and repurposing” other powers to advance its trade agenda.
Unlike the president’s other trade gambits, he has successfully applied tariffs in the past using Section 301, including on China. That left some analysts to conclude that Mr. Trump, while blemished, would still retain some leverage ahead of his trip to Beijing next week.
“Unless they have amnesia, China should remember quite vividly how during Trump’s first term, the U.S. imposed multiple rounds of tariffs under Section 301 on China during negotiations,” said Sarah Schuman, a former U.S. trade official who is now managing director at Beacon Global Strategies.
The administration still had multiple options “to increase tariffs on China in pretty short order,” she added.
Mr. Trump’s trip to China had been scheduled for April, but was delayed because of the war in Iran. U.S. officials have said their goals for the visit include establishing a “board of trade,” which would oversee commerce between the countries in an effort to balance trade and reduce the U.S. trade deficit with China
On Friday, Mr. Greer sketched out a long list of concerns that the administration planned to raise with its Chinese counterparts, from its adherence to past purchase agreements to its approach to artificial intelligence.
“There’s not really a situation where we go, we get China to change the way they govern, the way they manage their economy; that’s all baked into their system,” he said. “But I think there is a world where we find out where we can optimize trade between China and the U.S. to achieve more balance.”
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