Trump Doubling Down on Steel Tariffs

Even as President Donald Trump’s tariff rollout faces legal peril, he continues to bring fresh levies to the table, including one with a direct impact on real estate and construction.

During a rally in Pennsylvania over the weekend, Trump announced plans to raise the tariffs on foreign steel imports from 25 percent to 50 percent, Business Insider reported. Those tariffs would take effect on Wednesday.

“We’re going to bring it from 25 percent to 50 percent, the tariffs on steel into the United States of America, which will even further secure the steel industry in the United States,” Trump said. “Nobody’s going to get around that.”

The president first announced plans to tax foreign steel and aluminum imports by 25 percent nearly four months ago, only to hit delays in putting them into effect. While American steel manufacturers saw a stock bump after those tariffs were announced — and some did again after Friday’s announcement — the long-term consequences are a cause for concern in the construction and real estate industries.

The tariffs will add to the rising costs facing manufacturers and builders, boosting home prices and delaying delivery timelines.

While Trump attempts to impose more tariffs, legal challenges are thwarting his efforts. Last week, the U.S. Court of International Trade blocked Trump’s sweeping tariffs, ruling the use of the International Emergency Economic Powers Act doesn’t give the president authority to levy universal duties on imported goods.

The administration quickly appealed that ruling, leading to temporary stay granted by a federal appeals court. It’s possible the issue will wind its way all the way to the Supreme Court.

Nevertheless, the administration is taking an optimistic tone in regards to the figure of Trump’s tariff strategy.

“Rest assured, tariffs are not going away,” Commerce Secretary Howard Lutnick declared on “Fox News Sunday.”

— Holden Walter-Warner