What You Need to Know About U.S. Tariffs on China Products
President-elect Donald Trump will be inaugurated on January 20th, 2025, and he has indicated that he may impose a new 10% U.S. tariff on all Chinese imports on day one. Existing tariffs on Chinese steel and aluminum products, currently range from 7.5% to 25%, might be expanded under Trump’s U.S. trade policies focused on industrial and strategic sectors. These tariffs will raise costs for U.S. manufacturers who depend on these imports for their products and projects.
When Will The Tariffs On China Be Applied to Products?
Many of Marine Structure’s clients have projects that are slated to deliver in 2025. What does this mean for our clients? Tariffs are charged at the point of entry into the United States, meaning importers must pay the tariff as soon as the steel or other products arrive at U.S. ports. These tariffs will be passed onto the end user upon final delivery and invoicing.
How Likely Is The Possibility of a U.S. Tariff on all Chinese Imports? On December 4th, Peter Navarro was appointed Senior Counselor for Trade and Manufacturing to serve in Trump’s second administration. Navarro has strongly advocated for increasing tariffs on China and his proposals focus heavily on targeting industries highlighted in China’s “Made in China 2025” initiative, which aims to dominate emerging global industries like advanced manufacturing, robotics, and artificial intelligence. His approach involves applying high tariffs under Section 301 of the Trade Act to these sectors, citing concerns about economic aggression by China and its trade practices.
Many projects throughout the United States source foreign steel to meet their budget requirements. With only 900 steel factories in the U.S. and the industry facing workforce challenges to serve those factories, these increased costs will be around long term. The new administration will likely create incentives to bring more steel factories back to the United States in an attempt to decouple the economy from China to address economic and security concerns.
Marine Structures aims to guide our clients through this uncertain time. We will be transparent in our quotes and communications to keep our clients updated on the estimated costs of delivering their projects in a timely manner. If your project has upcoming steel needs, reach out today for a quote.
Marine Structures provides quality mooring bollards, cleats and fender systems to companies worldwide for their maritime projects. We offer American made and foreign made marine products based on each project specifications. To view more of our industry updates, visit our Latest News.