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PoliticsTrump signs proclamation halving aluminum tariffs for companies committing to US production
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President Donald Trump signed a proclamation on July 20, 2026, offering to reduce aluminum import tariffs by half for companies that commit to investing in U.S. domestic production. Currently, most aluminum imports face a 50% tariff. Under the new program, Commerce Secretary Howard Lutnick will establish an application process where companies must submit plans to build, refurbish, or expand U.S. aluminum facilities and commit to beginning construction by January 20, 2029. The Commerce Department will evaluate factors including commercial feasibility and projected annual production. Approved companies will receive halved tariffs on a volume of imports matching their projected production levels. This action builds on a similar program for steel and aluminum producers in Canada and Mexico, which required compliance with USMCA and intensive record-keeping. Further details on implementation timing and additional requirements were not disclosed.
Source report
Phil Neuffer Mon, July 20, 2026 at 12:11 PM PDT 2 min read
- ALI=F -0.24%
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More companies could soon be eligible for reduced U.S. tariffs on aluminum imports, according to a proclamation President Donald Trump signed Monday.
The missive specifically outlines a pathway for the levy to be cut in half for companies on a certain quantity of aluminum imports each year, in exchange for commitments to invest in domestic production of the metal. Most aluminum imports currently face a 50% tariff.
To encourage aluminum production onshoring, Commerce Secretary Howard Lutnick will establish a program for companies to apply for the reduced tariff rates, per the proclamation. To qualify, companies must:
- Submit plans to build, refurbish, or expand U.S. aluminum facilities
- Commit to beginning construction by January 20, 2029
The Commerce Department may also set requirements for additional information and analysis, per the proclamation, and will evaluate other factors prior to approval, including:
- How commercially feasible a plan is
- Its anticipated annual aluminum production
Once companies receive approval, their tariff burden will be halved each year for a volume of aluminum imports that matches projected production levels.
Trump did not reveal further details about when the program will go into effect or what other information may be required for approval. The White House did not immediately respond to a request for more information.
This latest action from the Trump administration builds on a similar process the Commerce Department created this year for steel and aluminum producers based in Canada and Mexico. That program offers to cut tariffs on the metals in half in exchange for commitments to invest in domestic production.
Unlike Monday's proclamation, the previous program stipulated that companies must:
- Be suppliers to U.S. manufacturers
- Ship goods that comply with the United States-Canada-Mexico Agreement
Applicants are also required to submit information on major raw material sources and expected project milestones, necessitating intensive record-keeping to demonstrate ongoing compliance.
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- Trump's tariffs: Tracking the status of US trade actions
Source
Yahoo FinanceWestern
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Trump Offers to Halve Aluminum Tariffs for Onshoring Commitments