Trade Cases
US extends tariff-rate quotas with EU through 2025
Written by Laura Miller
December 29, 2023
The US is extending the tariff-rate quota (TRQ) agreements on steel and aluminum imports from the European Union for another two years.
In two presidential proclamations on Dec. 28, President Joe Biden announced an extension of the quotas currently in place for steel and aluminum imports from the EU through Dec. 31, 2025.
The quotas allow for up to 3.3 million metric tons of steel, 18,000 metric tons of unwrought aluminum, and 366,040 metric tons of semi-finished wrought aluminum melted and poured in the EU to be brought into the US without facing the traditional 232 tariffs. Any steel or aluminum imports above those levels will continue to be subject to tariffs of 25% and 10%, respectively.
Earlier this month, the EU announced it would suspend retaliatory tariffs on US steel and aluminum products through March 31, 2025.
Domestic industry supports the decision
Two associations representing the domestic steel industry – the Steel Manufacturers Association (SMA) and the American Iron and Steel Institute (AISI) – cheered the extension of the TRQs.
The “proclamation sets the stage for continued discussions on the proposed Global Arrangement on Sustainable Steel and Aluminum,” noted Philip Bell, president of the SMA.
“SMA supports the US government’s solution-focused approach toward an agreement that addresses both non-market excess capacity and reducing carbon emissions from around the world,” he added.
AISI also welcomed the two-year extension of the TRQs to allow for additional time for negotiations for a Global Arrangement.
“The American steel industry strongly supports the administration’s efforts to establish new mechanisms to address effectively global non-market excess capacity in steel and the higher carbon intensity of imported steel versus clean American steel,” commented AISI president and CEO Kevin Dempsey in a statement.
“In doing this, the President is making sure we continue to have vibrant steel and aluminum industries in the United States, which are especially crucial for safeguarding our national security.”
US Secretary of Commerce Gina Raimondo commented that the move shows Biden’s “commitment to defending US industry from uncertain or adverse economic conditions.”
“In doing this, the President is making sure we continue to have vibrant steel and aluminum industries in the United States, which are especially crucial for safeguarding our national security,” she added.
Laura Miller
Read more from Laura MillerLatest in Trade Cases
Price on Trade: IEEPA tariffs head to the Supreme Court, DOJ ramps up trade enforcement
International trade law and policy remain a hot topic in Washington and beyond this week. We are paying special attention to the ongoing litigation of the president’s tariff policies and the administration’s efforts to heighten trade enforcement.
Mexico considers stiff tariffs for steel, autos, and other imports
Mexico is considering imposing steep tariffs on imports of steel, automobiles, and over 1,400 other products. Its target? Countries with which it does not have free trade agreements, mainly China, India, Thailand, and other South Asian nations.
Leibowitz: With ‘reciprocal’ tariffs struck down again in court, what happens next?
President Trump’s “reciprocal” tariffs under the International Emergency Economic Policy Act (IEEPA) were struck down again, this time on Aug. 29 by the Court of Appeals for the Federal Circuit (CAFC). The legal and policy mess continues, with the next stop being the US Supreme Court.
Market unfazed by US circuit court’s IEEPA decision
Repealing any reciprocal tariffs placed by President Donald Trump on US imports of direct reduced iron (DRI), iron ore, hot-briquetted iron (HBI), and pig iron would have only a nominal impact on the US steel market, market participants said.
ITC votes to keep HR duties after sunset review
The US government determined this week that hot-rolled steel imports from a handful of countries continue to threaten the domestic steel industry.