Trump made the announcement during a speech at a U.S. Steel plant outside Pittsburgh, Pennsylvania, saying the measure would "further secure the steel industry." The move comes as part of a broader agreement involving Japanese steelmaker Nippon Steel's investment in the American company.
"We don’t want America’s future to be built with shoddy steel from Shanghai. We want it built with the strength and the pride of Pittsburgh," said Trump, explaining the tariff increase.
The tariff hike represents a doubling of duties first imposed in March under the Trade Expansion Act, which allows restrictions on imports deemed threats to national security.
"At 25 percent, they can sort of get over that fence," Trump said. "At 50 percent, they can no longer get over the fence."
The announcement coincided with Trump's reversal on Nippon Steel's acquisition of U.S. Steel, which he had previously opposed on national security grounds alongside former President Joe Biden. The Japanese company plans to invest $14 billion in American steel operations over the next 14 months.
Trump described the investment as "the largest investment in the history of the commonwealth of Pennsylvania" and "the biggest investment in American steel history." He said the partnership would create and maintain over 100,000 jobs nationwide, including 100,000 in Pennsylvania specifically.
The president assured that the deal would prevent layoffs or outsourcing, adding that U.S. Steel workers would receive $5,000 bonuses. He called the arrangement a "blockbuster agreement" that ensures the historic American company remains domestically owned.
South Korea's top steelmakers, POSCO and Hyundai Steel, already posted disappointing first-quarter results following previous U.S. tariff measures of 25 percent, industry experts saying the doubling of the levies to hit the nation strong, as South Korea exports around 13 percent of its total steel produce to the U.S.
reporter
Kim Dong-young
davekim0807@ajupress.com
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