Steel Producers Can Apply for Tariff Relief Under New Rule
Published Date: 6/18/2026
Notice
Summary
Steel and aluminum producers who plan to build new U.S. production facilities can now apply for tariff breaks under a new government rule. The Department of Commerce is asking for public feedback by August 17, 2026, to make sure the process is clear and fair. This change helps boost American manufacturing while keeping import rules smart and balanced.
Analyzed Economic Effects
3 provisions identified: 1 benefits, 2 costs, 0 mixed.
Information-Collection Burden on Producers
If you are a steel or aluminum producer asked to apply for the tariff adjustment, the Department estimates that 60 respondents will each spend about 60 hours preparing submissions. The notice estimates a total annual burden of 3,600 hours and an estimated total annual cost to the public of $108,684.
Tariff Reductions Available for Certain Producers
Proclamation 10984 lets the Secretary reduce tariffs under Proclamations 9704 and 9705 by up to half the otherwise applicable rate for aluminum or steel producers that operate facilities in Canada or Mexico and supply U.S. automobile or medium- and heavy-duty vehicle manufacturers. The adjusted tariff rate may not be less than 25% and is available only for imports that qualify for preferential treatment under the USMCA and were smelted/cast or melted/poured in Canada or Mexico, and only up to quantities equal to newly committed U.S. production capacity.
Eligibility Limited to Primary Steel and Aluminum
Only commitments to increase production capacity of primary steel or primary aluminum that support U.S. production capacity for automobiles, medium- and heavy-duty vehicles, automobile parts, and vehicle parts are eligible for the tariff adjustment. The notice defines "primary steel" as steel produced in a basic oxygen furnace, electric arc furnace, or other steelmaking furnace in the United States, and "primary aluminum" as aluminum produced in a smelter in the United States.
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Key Dates
Department and Agencies
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