European industry leaders are expressing significant alarm as the United States prepares to expand its “steel derivatives” tariff list, a move that could see hundreds of new products facing steep import taxes. Following an August decision that applied extra tariffs to 407 items, the US Commerce Department is now reviewing requests from American companies to add approximately 700 more.
This development is particularly worrying for manufacturers in Europe, who believed they had stable trade frameworks with the US. The UK’s existing deal, for example, set a 10% baseline tariff and a 25% rate for steel, while the EU’s agreement established 25% and 50% rates. Exporters fear these new “derivative” tariffs will effectively bypass those agreements.
The new levies would reportedly be applied on top of the baseline rate for the entire product. This means a European-made item could soon be hit with a standard import tax and then an additional tax based on its steel content, making a mockery of the painstakingly negotiated trade deals.
The push comes entirely from US-based firms, ranging from small businesses to large corporations. The wide array of products targeted includes bicycles, commercial baking trays, mattress springs, and even industrial machinery used in tunnelling and printing. This suggests a broad effort by American industry to seek protection.
With a decision expected in December or January, European businesses are bracing for impact. The near-100% success rate of applications for the August tariff list has fueled fears that this second, larger round of requests will also be almost entirely approved, hitting global exporters just as the new year begins.