Trade war escalates as Trump's 25% metal tariffs take effect

Published On Mar 12, 2025, 12:00 AM

The U.S. has imposed a flat 25% tariff on steel and aluminum imports, removing exemptions previously in place. This move is intended to bolster domestic production but is expected to raise costs for U.S. industries reliant on these metals, such as automotive and aerospace sectors. Critics believe the tariffs could lead to a negative impact on the broader economy, contributing to recession fears. Global stock markets reacted negatively, reflecting concerns over potential economic downturns. Major trading partners like Canada and the EU have expressed intentions to retaliate against these tariffs.