US extends tariff-rate quotas with EU through 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.