Section 232 Tariffs on Steel & Aluminum: What Importers Need to Know
Section 232 tariffs — originally 25% on steel and 10% on aluminum — were raised to 50% on both in 2025, with copper added at 25%. No country exemptions remain. Here's what every importer needs to know.
Current Rates (2026)
| Material | Rate | HTS Chapters |
|---|---|---|
| Steel | 50% | 72, 73 |
| Aluminum | 50% | 76 |
| Copper | 25% | 74 |
No More Country Exemptions
When Section 232 first launched in 2018, several countries negotiated exemptions or quota arrangements — including Canada, Mexico, the EU, Australia, and South Korea. As of March 2025, all exemptions were revoked. Every country now faces the full 50% rate on steel and aluminum.
This is a critical change for importers who were sourcing from exempt countries to avoid 232 tariffs. That workaround no longer exists.
The Stacking Problem
Section 232 tariffs stack with other tariff programs. For Chinese steel, you could be paying:
- Base HTS duty (0–6.5%)
- Section 232: +50%
- Section 301: +25%
- AD/CVD orders: +50–200%+
On some steel products from China, the combined effective rate exceeds 200%. See the full calculation →
Which HTS Codes Are Covered?
Section 232 covers broad categories, not individual HTS codes. Any product classified under Chapter 72 (iron and steel), Chapter 73 (articles of iron or steel), or Chapter 76 (aluminum) is subject to the tariff. Copper products under Chapter 74 were added in 2025.
However, derivative products (like steel bolts or aluminum cans) have complex coverage rules. Some fall under 232, others don't. Search your specific HTS code →
Exclusion Process
The Bureau of Industry and Security (BIS) runs a product exclusion process for Section 232 tariffs. If you can demonstrate that a specific product isn't available in sufficient quantity or quality from domestic producers, you may qualify for a temporary exclusion.
The process is slow (6–12 months typical), the approval rate is low (~30%), and exclusions expire after one year. But for high-volume importers, the savings justify the effort.
Strategies for Importers
1. Verify classification carefully
The line between 232-covered and non-covered products is sometimes a single digit in the HTS code. Get your classification right — it's the highest-leverage action you can take.
2. Evaluate domestic sourcing
At 50% tariff rates, domestic steel and aluminum are increasingly competitive. Run the landed cost comparison before assuming imports are cheaper.
3. Monitor for rate changes
Section 232 rates have changed multiple times since 2018. Set up tariff alerts on your steel and aluminum HTS codes.