Trump expands Section 232 tariff treatment for equipment imports

President Donald Trump signed a proclamation June 1 changing tariffs for certain aluminum, steel and copper derivative products under the Section 232 framework established April 2.

The changes are set to take effect June 8, and remain in place through Dec. 31, 2027.

Equipment categories added to reduced rate schedule

The April 2 proclamation established a temporary 15% tariff framework for certain industrial machinery and power equipment.

The June 1 proclamation expands the list of harmonized tariff schedules (HTS) codes eligible for the 15% duty rate, including agricultural equipment, certain heating, ventilation and air conditioning (HVAC) systems and components predominantly intended for residential use and additional categories of industrial equipment and machinery.

Examples include combines and other harvesting equipment used in agriculture, window/wall air conditioning units, forklifts used in warehousing and logistics operations, and other mobile equipment used across industrial and material-handling applications.

Domestic content threshold

Additional changes include how imported products qualify for reduced tariffs based on US metal content.

Under the pervious rules, qualifying derivative products could receive a 10% tariff rate if at least 95% of their aluminum, steel or copper content by weight was qualifying US-produced metal. Now, that threshold is lowered to 85%.

Imported products can now qualify for the reduced duty rate if at least 85% of the applicable aluminum, steel or copper content by weight consists of aluminum smelted and cast in the US, steel melted and poured in the US, or copper smelted and cast in the US.

Niche products added

Aluminum lithographic plates and steel racks now are included to the tariff coverage.

According to the administration, the additions will prevent circumvention of existing aluminum and steel tariffs and maintain coverage of products that function as derivative articles.

Nicholas Bell

Nicholas brings over half a decade of experience covering metals markets, pricing trends, and supply chain dynamics. Prior to joining AMU, he reported on aluminum, high-temperature scrap, and ferro-alloy markets at Argus Media, with additional coverage of minor metals and rare earths. His work has built deep expertise in North American metals pricing and trade flows. A native of Houston, Nicholas holds a bachelor’s degree in Media Production and an MBA with a concentration in Finance, both from the University of Houston.