Trump’s Steel and Aluminium Tariffs: Responses from Affected Nations | Donald Trump News

The tariffs imposed by President Donald Trump on steel and aluminum imports are causing ripples across global markets and heightening tensions with major trade partners such as Canada, Mexico, and the European Union.

Some nations are retaliating with their own tariffs, while others are attempting to negotiate exemptions, and a few are seeking to negotiate their way out of the 25% tariffs.

This raises questions about who is intensifying the trade conflict, who is attempting to mitigate it, and what implications these tariffs have for industries reliant on these metals.

Who supplies steel and aluminum to the US?

According to the International Trade Administration, Canada, Brazil, and Mexico are the leading suppliers of steel to the US, making up roughly 49% of steel imports between March 2024 and January 2025. Other notable suppliers include South Korea, Vietnam, Japan, Germany, Taiwan, the Netherlands, and China, which together account for 30% of US steel imports.

Here’s a detailed breakdown:

Canada – 16% Brazil – 14% Mexico – 9% South Korea – 8% China – 2%

For aluminum, Canada, the United Arab Emirates, Russia, and Mexico are the primary suppliers. Canada dominates this sector, providing nearly 40% of US aluminum imports, followed by the UAE, Russia, and Mexico.

The tariff dispute is poised to significantly impact US manufacturers and consumers, as steel and aluminum are vital in producing home appliances, vehicles, aircraft, smartphones, and buildings, among other products.

Steel serves as a foundational material in construction, manufacturing, transportation, and energy, with the construction industry accounting for about a third of all steel imports. This will result in increased costs for infrastructure projects like airports, schools, and roads.

Aluminum, known for its light weight and corrosion resistance, is crucial for the automotive and aerospace industries, as well as for food and beverage packaging.

The US is notably reliant on aluminum imports, with approximately half of its aluminum needs met through foreign sources.

In the previous year, US imports of steel and aluminum reached $31 billion and $27 billion, respectively, according to data from the US Department of Commerce.

Vina Nadjibulla, vice president of research and strategy at the Asia Pacific Foundation of Canada, asserts that the tariffs are especially detrimental since there is “little economic or true national security justification for them.”

“The US cannot realistically produce sufficient quantities of these commodities domestically, meaning that the tariffs primarily impose economic burdens on American consumers and vital trading partners,” Nadjibulla stated in an interview with Al Jazeera.

She noted that these tariffs create a level of “unpredictability and volatility that we haven’t witnessed in decades.”

By disrupting established trade norms, the US “effectively encourages other nations to respond in kind, which could have devastating consequences for stock markets and affect investor and consumer confidence across North America and beyond,” Nadjibulla remarked.

How are countries responding?

Canada

As the largest supplier of steel and aluminum to the US, Canada has taken a firm stance against the tariffs. Prime Minister Justin Trudeau described these tariffs as “unjustifiable” and a “foolish decision.”

Canada has imposed 25% retaliatory tariffs on $20.6 billion worth of US goods, which includes $8.8 billion on steel and $2 billion on aluminum imports. An additional nearly $10 billion tariff on US goods such as computers, servers, display monitors, water heaters, and sports equipment has also been introduced.

These countermeasures will take effect on Thursday.

“We will stand up for our workers and ensure that the American public understands the consequences of their leadership’s decisions,” Trudeau stated earlier this week.

Mark Carney, the incoming prime minister after Trudeau, has committed to maintaining these tariffs until the US opts for fair trade practices. He expressed readiness to adopt “a more comprehensive approach to trade.”

“We firmly believe that, given the geopolitical and economic uncertainties, it isn’t in our shared interest to place tariffs on our economies,” he stated on Wednesday.

The latest tariffs follow the imposition of 25% counter-tariffs on $20.8 billion of US imports on March 4, responding to the initial Trump tariff that was later deferred by a month.

European Union

The EU has also unveiled retaliatory actions aimed at more than $28 billion worth of US products, including motorcycles, peanut butter, and jeans. These measures will be implemented in two phases:

Phase 1 (April 1) – Reinstating previously suspended tariffs on $8.7 billion worth of US items, including steel, aluminum, bourbon, and motorcycles. The counter-measures, initially imposed between 2018 and 2020 during Trump’s initial term, were paused under the Biden administration. Phase 2 (mid-April) – Introducing new tariffs on an additional $19.6 billion worth of US exports, including poultry, dairy products, fruits, and cereals.

Ursula von der Leyen, President of the European Commission, cautioned that these tariffs will raise prices and jeopardize jobs both in Europe and in the US.

“We deeply regret this measure. Tariffs are taxes. They hamper business and negatively impact consumers,” she noted, while reaffirming the EU’s openness to negotiations.

Mexico

The situation in Mexico remains ambiguous. President Claudia Sheinbaum has indicated that any retaliatory tariffs would only be enacted if negotiations falter. However, she has secured a temporary exemption through negotiations with Trump, ensuring an exemption until April 2 for Mexican imports covered by the US-Mexico-Canada Agreement (USMCA) established during Trump’s first term.

Nonetheless, analysts warn that goods not adhering to USMCA stipulations could still be subject to the new 25% tariffs.

This follows a deal between Mexico and Canada to delay tariffs for one month, during which both nations agreed to enhance border security. Trump has acted on his campaign promise to levy tariffs on Mexico until it curbs immigration and drug trafficking across its borders.

Brazil

Despite being significantly impacted, Brazil has opted for diplomacy over retaliation. Brazilian officials are currently engaging in discussions with Washington in hopes of securing an exemption.

The left-leaning government of President Luiz Inacio Lula da Silva issued a statement expressing disapproval of the US’s “unjustifiable” move.

“President Lula has encouraged us to stay calm, as we have previously negotiated under more unfavorable conditions than the current ones,” Finance Minister Fernando Haddad relayed to reporters on Wednesday.

South Korea

Trump has accused South Korea of exploiting the US, claiming that Seoul’s average tariff is disproportionately higher, without substantiating this claim. Trade between the two allies is nearly tariff-free due to their free trade agreement.

“We provide significant military support and assistance to South Korea in various ways. But this is what happens,” Trump remarked during his address to Congress earlier this month.

He also vowed to abolish the CHIPS and Science Act, under which several South Korean firms, including Samsung Electronics, receive US support.

South Korea has chosen to pursue negotiation instead of conflict, declaring a “full emergency response mode” to shield its local industries.

On Tuesday, Choi Sang-mok, South Korea’s acting President, stated that Trump’s “America First” policy has begun targeting their nation.

Officials from South Korea are actively seeking dialogue with their US counterparts to negotiate potential exemptions and address shared concerns. Trade Minister Cheong In-kyo is scheduled to visit Washington, DC, on March 13-14, aiming to discuss reciprocal tariffs and investment opportunities.

This visit is expected to influence the Trump administration’s trade policy report and present South Korea’s position on tariffs.

China

While China is not a primary steel supplier to the US, it regards the tariffs as a direct economic assault and has responded assertively.

Mao Ning, spokesperson for the Chinese Ministry of Foreign Affairs, stated that the tariffs violate World Trade Organization regulations and affirmed that China, the world’s largest steel producer and second-largest economy, will take all necessary actions to protect its rights and interests.

“No one emerges victorious from a trade or tariff conflict,” the spokesperson emphasized.

China has already imposed tariffs on US goods in retaliation for the 20% blanket tariff instituted by Trump.

How will the tariff war affect US ties with its allies?

Australia, another significant US ally impacted by Trump’s tariffs, has stated it will not retaliate. Prime Minister Anthony Albanese labeled the tariffs as “completely unjustified” but ruled out reciprocal tariffs, citing the negative effects on Australian consumers.

Canberra successfully obtained an exemption from steel and aluminum tariffs during Trump’s initial tenure.

Nadjibulla posits that these tariffs portray the US as “an unreliable partner for its closest allies.”

Countries such as Canada, Australia, and South Korea “will be inclined to reduce their vulnerabilities” and look for strategies to diversify their trading partners.

“When large economies engage in retaliatory tariff escalations, the specter of a global trade slowdown becomes more pronounced,” she noted. “These measures not only adversely affect short-term profits—they also threaten the entire framework of open trade that has been foundational to much of the world’s economic growth and stability.”