Why it matters: Steel and aluminum from other countries will cost significantly more, which could raise prices for products that use these materials

Steel and Aluminum Tariffs – On Friday, May 30, President Trump announced that he would double the tariffs on foreign steel and aluminum, bringing them to 50%, saying this would “even further secure the steel industry in the United States.” The newly increased tariff rate would take effect on June 4, 2025.

Lawsuits – On Wednesday, May 28, the U.S. Court of International Trade blocked President Trump’s reciprocal tariffs, announced on “Liberation Day.” President Trump had used the “International Emergency Economic Powers Act” of 1977 to impose reciprocal tariffs, as well as 25% tariffs on products from Canada and Mexico, and 30% tariffs on products from China. The ruling found that the President’s actions to impose the tariffs “exceed any authority granted” to the President by that law. This ruling does not impact the steel and aluminum tariffs. Because a different legal authority was used to impose those tariffs. Hours after the ruling, an appeals court issued a temporary, administrative pause. During the pause, the tariffs will remain in place while the courts continue to review the case. It’s expected that this case will end up in the Supreme Court.

Budget Reconciliation – On May 22, 2025, H.R. 1, the “One Big Beautiful Bill Act,” passed the House of Representatives 215-214. The bill is over 1000 pages of policies that will impact Americans, American businesses, and the environment. The bill is now being considered by the Senate, where it is expected that they will make changes before passing it and sending it back to the House. Republican leadership hopes to pass the bill by July 4th.