While the Steel Manufacturers Association supports a tariff increase to 50 percent, the Aluminum Association urges reconsideration regarding that metal.
ByBrian Taylor, Senior Editor
Published June 05, 2025

he Washington-based Steel Manufacturers Association (SMA), in a May 30 statement, quickly endorsed President Donald J. Trump’splan to raise tariffs on inbound steel to 50 percent.

This week, the Virginia-based Aluminum Association expressed a different sentiment, with the CEO of that organization saying he urges the [Trump] administration to reconsider today’s decision given the negative impact it will have on manufacturers.

In its May 30 press release, the SMA said it applauds President Trump’s announcement [to] double the steel tariffs from 25 to 50 percent, adding, American-made steel is at the heart of President Trump’s plan to revitalize domestic manufacturing and return our country to an economic powerhouse.

Continues the SMA, Since the tariffs were first announced in 2018, our industry has invested over $20 billion in growth and modernization. Increasing the tariffs will promote greater investment and ensure that steel imports do not surge into the U.S. market.

SMA’s membership skews toward recycled-content electric arc furnace (EAF) steelmakers, who have a supply chain dependent predominantly on United States-generated ferrous scrap or American-made iron alternatives like direct-reduced iron (DRI) or hot briquetted iron (HBI).

Amap of SMA membersposted to its website shows only the U.S. (not Canada or Mexico) and a list of predominantly U.S.-based companies, along with some overseas firms such as Brazil-based Gerdau and Sweden-based SSAB that operate EAF mills in the U.S.

Alist of Aluminum Association members includes (along with U.S.-centric companies) several multinational firms with capital investments not only in the U.S. but in Canada and Mexico as well, such as Alcoa, Arconic, Constellium, Gränges, Matalco, Norsk Hydro and Novelis Inc.

The comments from Aluminum Association CEO Charles Johnson reflect the more geographically dispersed operations of aluminum producers.
Re-establishing a more level playing field for domestic producers is critical, but a Section 232 tariff of 50 percent threatens to undermine the very industry the administration aims to support, says Johnson.

Continues the CEO, Aluminum and steel are fundamentally different metals with distinct supply chains, market dynamics and strategic challenges. A one-size-fits-all approach to trade policy for these strategic materials risks unintended consequences for the U.S. economy and our national defense.

Johnson says a 50 percent tariff rate could also raise prices for consumers, decrease demand and undermine the aluminum industry’s ability to serve the U.S. defense industrial base. Aluminum firms need a reliable supply of metal, protection from transshipped metal from non-market economies, and certainty in the tariff landscape.

He concludes, The industry appreciates the Trump administration’s focus on bringing more aluminum production and jobs back to the U.S. and remains committed to supporting these goals. We look forward to working closely with the administration to clearly articulate industry concerns related to Section 232 tariffs and provide alternative actions that will better support the future growth of the U.S. aluminum industry.