Trump's Tariffs On All Steel, Aluminum Imports Kick In As Trade War Heats Up

U.S. President Donald Trump's increased tariffs on steel and aluminum imports took effect Wednesday, marking a significant development in the president's intensifying trade war with some American trade partners, including neighbor Canada.

All imports on steel and aluminum have been increased to 25%, affecting hundreds of various products, including bulldozer blades, bolts, and even soda cans.

Trump Tariffs Threaten Industrial Prices

Trump first launched his 25% steel tariffs during his first presidency. Ex-President Joe Biden pursued his predecessor's tariffs system, but he did allow exceptions on some U.S. allies, including Canada and Mexico.

This time, Trump has reversed the exceptions that Biden implemented, which now brings the steel and aluminum tariffs on long-time ally Canada from 10% to 25%.

The steel and aluminum tariffs mark the first time in the second Trump presidency that a tariff has been slapped on all countries, threatening price hikes on various industrial goods for American consumers.

Canada is among the top countries that will be hit hard by the tariffs, being the U.S.'s biggest foreign supplier of steel and aluminum.

Canada Warns It Will Not Bend the Knee

Ahead of the new tariffs, Canada's new leader, Prime Minister-Designate Mark Carney, warned that his country will not back out of the trade war initiated by Trump.

"My government will ensure our response has maximum impact in the U.S. and minimal impact here in Canada, while supporting the workers impacted," he wrote on X Tuesday.

He went on to note that the Canadian government will retain tariffs on billions of American goods "until the Americans show us respect and make credible, reliable commitments to free and fair trade."

Trump previously threatened to double the tariffs on Canada to 50% but did not push through with the plan and instead retained the 25% duties.

Australia Decries 'Concerning' Tariffs

Australian Prime Minister Anthony Albanese has also expressed disappointment over "concerning" Trump's global tariffs on steel and aluminum.

"Such a decision by the Trump administration is entirely unjustified. This is against the spirit of our two nations' enduring friendship and fundamentally at odds with the benefits that our economic partnership has delivered over more than 70 years," he said shortly before the tariffs took effect.

He said Australia will fight to get an exemption from the tariffs and revealed that discussions were ongoing with the Trump government.

It remains to be seen whether the tariffs will actually benefit the American public or will burden them with higher prices on various industrial products.