Trump to announce steel, chip tariffs in coming weeks

[Ben Graham]

US President Donald Trump said Friday he will soon impose new tariffs on imports of steel and semiconductor chips, signaling another escalation in his trade policy aimed at boosting domestic manufacturing.

Speaking to reporters aboard Air Force One en route to a meeting with Russian President Vladimir Putin in Alaska, Trump said the tariffs would be announced over the next two weeks. The rates will start lower to give companies time to establish production in the United States before rising sharply.

“I’m going to have a rate that is going to be lower at the beginning – that gives them a chance to come in and build – and very high after a certain period of time,” Trump said, noting the approach mirrors his recent strategy for pharmaceuticals.

While the president did not specify the exact initial rates, he indicated that the higher long-term tariffs would make it more attractive for companies to build manufacturing capacity domestically rather than rely on imports.

Trump has already shaken global trade by hiking duties across a wide range of goods. In February, his administration raised tariffs on steel and aluminum to 25%, later doubling the rate to 50% in May to bolster US producers. It remains unclear whether the forthcoming measures will further increase those rates.

Last week, Trump said he would impose a 100% tariff on semiconductor imports, with exemptions for companies committing to significant US manufacturing investments. His latest remarks coincided with Apple’s announcement of an additional $100 billion investment in its domestic operations.

The move is part of a broader push to reindustrialize the U.S. and reduce reliance on foreign supply chains, a strategy that has drawn both support from domestic producers and criticism from trade partners.

(With files from Reuters)