The United States imports only 25% of the steel it consumes, while in the case of aluminum its dependence on foreign sources is almost 50% or more, depending on the type of products, according to data from the U.S. government. Canada is the main exporter of both metals to the country led by Trump, accounting for almost a quarter of the steel the U.S. imports. In contrast, only about 10% of Brazil's annual steel production is sold to the U.S.
Steel and aluminum are fundamental in industries such as construction, automotive, and food, and rising costs may fall on the American consumer. U.S.-produced metals are more expensive than imported ones. Elements such as columns, beams, pipes, screws, bumpers, air conditioners, and automobile components may become more expensive. Additionally, the food industry uses a lot of aluminum in its packaging, which is key in sectors such as soft drinks, beer, or canned goods.
The application of tariffs on steel could benefit U.S. steel mills and potentially generate about 140,000 new jobs in the sector, according to a study by the Council on Foreign Relations. However, by increasing tariffs by 10% during his first term, Trump destroyed 75,000 jobs in manufacturing industries. There are concerns that the construction industry, which employs 8 million people in the U.S., will absorb the negative impact.
It remains to be seen whether the tariffs will be maintained long-term and without exceptions, and what the reprisals from other affected countries will be. Washington's decision to impose a 25% tariff on imported steel and aluminum could have effects on various sectors, from the automotive industry to construction. Canada is particularly affected, facing 50% tariffs as retaliation for aggressive trade policies. Brazil and the EU could also feel the effects, although to a lesser extent due to the lower dependence of their local industries on exports to the U.S.
