President Donald Trump on Friday announced a dramatic increase in tariffs on steel and aluminium imports, raising the rate from 25% to 50%, in a renewed effort to bolster the domestic steel industry and curb reliance on foreign producers, particularly China.
Speaking at a raucous rally in Pittsburgh — the historic heart of American steel — Trump told a crowd of cheering steelworkers that the move would secure jobs, enhance national security, and “put Pennsylvania steel into the backbone of America.”
“There will be no layoffs and no outsourcing whatsoever, and every US steelworker will soon receive a well-deserved $5,000 bonus,” Trump declared to loud applause.
The announcement came alongside news of a major new investment in American steelmaking: a $14 billion partnership between US Steel and Japan’s Nippon Steel. Trump said the deal, reportedly negotiated with strong White House backing, would inject capital into US steel production and safeguard American ownership and oversight.
White House officials later revealed that Japan’s Nippon Steel had agreed to a 14-month, $14bn investment, with provisions to ensure US citizens maintain board leadership and that the company would not cut production for at least a decade. The US government would also retain veto power over future production changes after that period.
Though Trump admitted he hadn’t yet seen the final agreement, he insisted the partnership would bring long-term gains: “At 50%, they can no longer get over the fence.”
The move was welcomed cautiously by steelworkers and union leaders. JoJo Burgess, a member of the United Steelworkers union and mayor of nearby Washington, Pennsylvania, said “It is a good day for steelworkers.” Though a lifelong Democrat, Burgess added, “I’m never going to disagree with something that’s going to level the playing field for American manufacturing.”
Trump recounted his earlier 2018 tariffs during his first term, claiming they had “saved” US Steel and that further action was needed to ensure the industry’s survival amid global competition.
US steel production has lagged behind international competitors in recent years. China, India, and Japan lead global output, and the US imports roughly 25% of the steel it uses — a figure Trump has repeatedly criticized.
Trump’s latest tariff move is already stirring tensions abroad. His administration is facing ongoing legal challenges over previous tariffs, with an appeals court recently allowing lawsuits to proceed, though the new steel and aluminium levies remain untouched.
China, the world’s largest steel producer, has responded sharply. Following Trump’s Friday accusation that Beijing violated a recent tariff truce reached in Geneva, Chinese officials urged the US to “cease discriminatory restrictions against China,” though they did not address the allegations directly.
US Trade Representative Jamieson Greer said China had failed to remove agreed-upon non-tariff barriers. In response, Beijing launched fresh accusations of US wrongdoing, further escalating a longstanding trade standoff between the world’s two largest economies.
During his Pittsburgh remarks, Trump framed the issue in stark nationalistic terms: “If you don’t have steel, you don’t have a country. You don’t have a country, you can’t make a military. What are we going to do? Say, ‘Let’s go to China to get our steel for the army tanks?’”
The former president’s campaign pledge to block foreign acquisition of U.S. Steel also looms large. While it’s unclear how ownership of the new joint venture with Nippon Steel would be structured, Trump’s allies insist the deal will preserve American control.
Despite the announcement’s patriotic overtones and political optics, economists and trade experts warn that such sweeping tariffs could further strain U.S. relationships with global partners, stoke inflation, and destabilize international markets — risks that became evident during Trump’s first term tariff regime.
Still, Trump remains undeterred. “We are once again going to put Pennsylvania steel into the backbone of America, like never before,” he said.
Chioma Kalu
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