In particular, foreign companies may be eligible for a 10% tax rate under certain conditions

U.S. President Donald Trump has signed an executive order amending the tariffs on imports of steel, aluminum, and copper imposed under Section 232. This was announced in a White House statement.

The document provides for a reduction in tariffs on certain products made of steel and aluminum, from the previous 25% to 15%. Specifically, this applies to certain types of agricultural machinery and equipment for heating, air conditioning, and ventilation of residential premises,

Mobile industrial equipment, such as bulldozers and loaders, will be subject to a 15% tariff “when imported from countries that have concluded trade agreements and are eligible for such treatment.”

It is noted that the proclamation encourages foreign companies to use more American steel and aluminum, allowing them to qualify for a 10% tariff rate if their capital equipment contains at least 85% by weight of steel or aluminum smelted or cast in the United States.

The tariff adjustments are temporary and will remain in effect until December 31, 2027, to stimulate short-term investments that will restore the country’s industrial base.

The adjustments will take effect for goods imported or removed from bonded warehouses after 12:01 a.m. Eastern Time on June 8.

As a reminder, in May, Tata Steel UK, the British subsidiary of Indian steelmaker Tata Steel, secured an exemption from U.S. tariffs. This will allow the company to export steel processed in the UK at the reduced rate applied to shipments from that country, even if the raw materials were produced abroad.