U.S. Implements Second Round of 50% Tariffs in June, Targeting Steel Appliances

TradingKey - On June 12 local time, the U.S. government announced a 50% tariff on steel appliances, a policy that will officially take effect on June 23. This new tax includes home appliances such as refrigerators, washing machines, dishwashers, ovens, and stoves. Previously, on June 4, the U.S. had raised tariffs on imported steel and aluminum to 50%, and this expansion further strengthened restrictions on steel-derived products.

A White House statement indicated that this move aims to protect American manufacturing jobs and promote "fair trade," while also noting that U.S. tariff revenue is expected to reach $23 billion by May 2025, marking a staggering increase of 270% year-on-year. However, economists broadly warn that the costs of these tariffs will be passed on to consumers, resulting in significantly higher prices for appliances.

The increased tariffs will place cost pressure on domestic companies that rely on imported steel components and may trigger a restructuring of the supply chain; some manufacturers may be forced to adjust their production strategies to avoid tariffs.

Following March's steel and aluminum tariffs and the April delay of "reciprocal tariffs," this latest tax once again exposes the uncertainties in policy. Analysts believe that while the tariffs may stimulate domestic manufacturing in the short term, they could weaken America's competitiveness within global supply chains in the long run and exacerbate inflationary pressures.