Analysis
February 24, 2026
Miller on Pig Iron: Confusion follows Supreme Court ruling
Written by Stephen Miller
The main discussion surrounding pig iron is the ruling by the US Supreme Courts that “reciprocal tariffs” are illegal.
Those tariffs were assessing pig iron imports from Brazil and Ukraine at 10%. Tariffs on Indian pig iron ranged from 25 – 50% under the former structure but were not consistently applied, although imports from India ceased when the initial tariffs went into effect.
According to WhiteHouse.gov, new overall Section 122 tariffs of 10% are now in effect with the possibility of rising to 15% in the near future. The definitively unanswered question is whether pig iron is exempted.
A case for this exemption can be made by the statements in the release by WhiteHouse.gov which says, exemptions from these tariffs include “certain critical minerals” and “natural resources and fertilizers which cannot be obtained in the US.”
Pig iron could be included in the latter category since it cannot be obtained in the US, at least not in the quantities required by the steel and iron industries. So, this is unclear at this point and it’s possible the White House will have discretion on exemptions for certain ferrous raw materials.
All of the Section 122 tariffs expire in 150 days. Their effect could be extended by Section 301 tariffs after investigatory results are completed.
If the 10% levels are maintained for overall pig iron importation, it should not affect shipments from Brazil or Ukraine. However, imports from India could possibly be workable since their tariff rate would be reduced. Due to sanctions on Russian pig iron, the Black Sea pig iron pricing is running far below the Brazilian levels, which the US is paying.
Indian export availability and the level of deep-sea maritime freight would have to be assessed before the viability of imports from this country can be determined, not to mention the ultimate tariff rate.
SMU contacted several large pig iron channels in Southern Brazil to learn their take on the tariff situation. We heard back from just one so far. He said it was too early to know what new tariffs will be. The consensus is 10% but they may increase to 15%. He also added offers for cargoes to US steelmakers are at $440 per metric ton (mt) FOB S. Brazil for April shipment. This is a $5/mt increase from previous levels. This equates to a CFR US port price of approximately $470/mt, before tariff assessment.
We also contacted a US source in the pig iron trade. He believes with the tariffs removed the US buyers will push down the market. However, “limited availability may offer some resistance.”
SMU also reached out to a large US steelmaker who imports pig iron to learn what they have heard about tariff levels on pig iron, but did not receive a response by time of publication.
In short, there is some uncertainty regarding the new tariffs on pig iron and for that matter HBI/DRI, but they should be cleared up fairly soon.
