50% Steel and Aluminum Tariffs Confirmed by Executive Order

Posted on Jun 4

By:  Brian Walczyk, Compliance Manager, TradeInsights, LCB, CCS

In an Executive Order published on June 3, 2025, President Trump has increased tariffs on Steel and Aluminum, including their derivatives, from 25% to 50%.

The new rate is effective for goods entered for consumption, or withdrawn from warehouse for consumption, on or after June 4, 2025, 12:01 a.m. eastern daylight time.

Steel and Aluminum tariffs for the U.K. will remain at 25%, but may be increased on or after July 9, 2025, contingent on the U.K.’s progress regarding the recent trade deal reached between the two countries.

The order further amends the tariff stacking protocol by having the Steel and Aluminum tariffs now take precedent over the IEEPA Border (MX/CA) tariffs.  The order of prioritization will now be:  Ask the questions in the below order…

  • If subject to Sec 232 Auto/Parts; then,
    • Not subject to Sec 232 Steel/Aluminum or IEEPA Border CA/MX
  • If subject to Sec 232 Steel/Aluminum; then,
    • Not subject to IEEPA Border CA/MX, but
    • May be subject to both Steel and Aluminum, if applicable
  • If subject to IEEPA Border CA/MX; then,
    • By elimination not subject to Sec 232 Auto/parts or Steel and Aluminum

The order goes on to amend how Steel and Aluminum derivatives are now treated, and their interplay with IEEPA Reciprocal tariffs.

  • All derivative articles for steel in or out of chapter 73 will only have the tariff on the steel content value
  • All derivative articles for steel in or out of chapter 73 will have IEEPA Reciprocal tariffs applied to the non-steel content value
  • All derivative articles for aluminum in or out of chapter 76 will only have the tariff on the aluminum content value
  • All derivative articles for aluminum in or out of chapter 76 will have IEEPA Reciprocal tariffs applied to the non-aluminum content value

Additional guidance was also posted via CSMS messages by US CBP, they can be found below:

We will continue to monitor and provide updates as they become available.

Please contact your V. Alexander account team, or you may also contact our Trade Compliance team at tradeinsights@valexander.com with any questions, and you can always follow us on our website www.valexander.com for updates on this and other topics.