Economy

US tariff plan threatens SA steel and aluminium sector

Date: Feb 10, 2025

The United States' (US) plan to impose a 25% tariff on all steel and aluminium imports could severely affect South Africa (SA).

President Donald Trump will unveil the plan on Monday.

It is the latest trade escalation since Trump took office three weeks ago. The blanket new metal tariff could also impact countries including Canada, Brazil, Mexico and South Korea.

According to the Trading Economics website, the US imported about 518 million Dollars worth of iron and steel from SA in 2024 and almost $400 million worth of aluminium in the same year.

President Trump told reporters on Air Force One that any steel coming into the US was going to have a 25% tariff and that the same tariff would be applied to aluminium.

During his first term, Trump imposed tariffs of 25% on steel and 10% on aluminium but later granted several trading partners duty-free exemptions, including Canada, Mexico and Brazil.

--Sherwin Bryce-Pease/SABC--

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