Automakers brace for higher costs as steel and aluminum tariffs kick in

A worker manipulates a block of aluminum in a French smelter in 2022. President Trump has increased tariffs on imported aluminum from 10% to 25%, while also removing exceptions from tariffs on steel. Both metals are crucial raw materials for the automotive sector.

Tariffs on steel and aluminum are increasing to 25% — not the 50% that President Trump had recently threatened, but high enough to be a headache for automakers.

(Image credit: Sylvain Lefevre)