New US tariffs covering 407 products will take effect immediately.
The US Department of Commerce plans to hike steel and aluminum tariffs for more than 400 products, including railroad vehicles, furniture and hundreds of other products, including wind turbines, mobile cranes, bulldozers and other heavy equipment.
The agency announced the new development on Tuesday.
The department has added 407 product categories to its list of “derivative” steel and aluminum products covered by sector tariffs, with 50% tariffs on the steel and aluminum content of these products.
The department is also adding new tariffs to the automotive exhaust systems and imported parts for electric steel, which are needed for electric vehicles.
A group of foreign automakers had urged the department not to add parts, saying the US lacked domestic ability to handle current demand.
The new tariffs will take effect immediately and will also cover compressors and pumps.
“Today’s actions will expand the scope of tariffs on steel and aluminum and close the path of avoidance. We will support the continued revitalization of the American steel and aluminum industries.”
Steelmakers, including Cleveland-Cliffs, have petitioned the administration to expand tariffs to include additional steel and aluminum auto parts.
Since returning to presidency, Trump has imposed 10% tariffs on almost all US trading partners, along with various steep levels in dozens of economies such as the European Union and Japan.
Certain sectors are spared from these national tariff levels, but instead were targeted under different authorities due to higher obligations.
Some companies have already had to raise prices due to increased tariffs. On Tuesday, shortly after its revenue report, Home Depot said it would need to raise the prices of imports it sells.
“There’s a modest price movement in some categories,” Home Depot’s chief financial officer Richard McFail said in a conference call Tuesday.
Other brands that have recently announced price increases include Procter and Gamble, the world’s largest consumer goods company.
