Americans use a lot of aluminum.
The metal is both lightweight and an effective conductor of electricity, and it provides countless applications for transportation and energy systems in cooking work and other aspects.
“It’s really magic metal,” said Charles Johnson, president and CEO of the Aluminum Association.
Aluminum is one of the 50 “key minerals” identified by the U.S. Geological Survey. But most aluminum production occurs in other countries.
The Trump administration hopes to bring some of this production into the United States, and its main policy tool will be tariffs, which are taxes on imported goods.
Since 2018, the United States has imposed a 10% tariff on aluminum imports. During Biden’s year, various trading partners are Exemption From these fees. As a result, the effective rate of aluminum entering the United States is only 3.91% in February 2025, According to Standard & Poor’s Global. In March 2025, President Donald Trump raised the current tariffs on steel and aluminum to 25%.
Canada is by far the largest source of aluminum imported by the United States.
whole Price level effect of these tariffs It is unknown, and any analysis needs to be revised as trade negotiations unfold. Nevertheless, some experts believe The price for consumers may be small.
“When you consider a $40,000 car or something like that, it could raise the price by about $75,” said Scott Paul, president of the Manufacturing Alliance for Advocacy and Lobbying.
The government says these tariffs are necessary for the fight Global economic trends This is not conducive to the United States, mainly because of China’s importance.
“These subsidies have allowed China to join at artificially low prices. This has created aluminium globally, especially in the United States,” Paul said.
The Aluminum Association, an American organization composed of industry policymakers, believes that rebuilding domestic smelting capacity could take a lot of electricity and could have a net negative impact on the domestic workforce. In an interview with CNBC, the organization pointed out that it could take about eight to ten years to build new industrial facilities such as “smelters” that convert alumina into its ultimate, consumer-friendly form.
“At the same time, we will import,” Johnson said.
Watch the video above to see why President Trump imposes taxes on aluminum imports.
