US TARIFFS ON ALUMINUM AND STEEL

The US decision to impose tariffs on imported aluminum and steel has significantly impacted global trade, particularly for exporting countries like Vietnam. However, amidst challenges, opportunities remain for Vietnamese businesses that can adapt to the new landscape. Let’s find out about the US tariffs on aluminum and steel with Smart Link Logistics.

1. US Imposes 25% Tariff on Aluminum and Steel: Global Trade Implications

On February 9, 2025, the US officially announced an additional 25% tariff on imported aluminum and steel, posing considerable challenges for exporters, including Vietnam.

According to trade statistics:

• In 2024, Vietnam-U.S. trade turnover exceeded $132 billion.
• In January 2025 alone, bilateral trade reached $11.1 billion.

The US remains a key export market for Vietnam, particularly for aluminum and steel. Therefore, these new tariffs are expected to have a substantial impact on Vietnam’s aluminum and steel industries.

2. Vietnam’s Aluminum and Steel Exports to the US: Current Landscape

Steel Exports

According to US Customs data:

• In 2024, Vietnam exported $983 million worth of steel to the U.S., a 159% increase from 2023.
• Key exported steel products include:
  • Galvanized steel (HS code 7210.49)
  • Aluminum-zinc coated steel (HS code 7210.61)
  • Plastic-coated steel (HS code 7210.70)
  • Stainless steel (HS code 7219.34)
  • Alloy steel (HS code 7209.16)

Aluminum Exports

• In 2024, Vietnam exported $479 million worth of aluminum to the U.S., a 9.5% increase from 2023.
• Key exported aluminum products include:
  • Aluminum furniture and kitchen cabinets (HS code 7615.10)
  • Aluminum alloys (HS code 7604.21)
  • Aluminum bars and wires (HS code 7604.29)

Since 2018, the US has imposed a 10% tariff on aluminum and a 25% tariff on steel under Section 232. Additionally, Vietnamese aluminum and steel products have frequently faced trade defense lawsuits. To date, the US has launched 34 anti-dumping cases against Vietnamese steel and two cases against Vietnamese aluminum.

3. Opportunities for Vietnam’s Aluminum and Steel Industries

Despite high tariffs, Vietnam’s aluminum and steel industries still have promising opportunities:

a. The US Cannot Fully Meet Domestic Demand

Even with increased tariffs, U.S. domestic production cannot immediately fulfill market demand. As a result, Vietnamese businesses can maintain exports, although profit margins may decrease.

b. Vietnam’s Competitive Pricing Advantage

Vietnamese aluminum and steel products offer reasonable prices and high quality, supporting the U.S. economy, especially as the country manages inflation.

c. Expanding Export Markets

Vietnam must diversify its markets by leveraging free trade agreements (FTAs) with the EU, Japan, South Korea, and Canada to reduce reliance on the US market.

4. Strategies for Vietnamese Exporters

a. Proactively Adapt to New US Trade Policies

• Closely monitor US regulations to ensure compliance.
• Develop contingency plans to mitigate risks from high tariffs.

b. Expand Export Markets

• Increase exports to FTA markets to reduce dependency on the US.
• Explore potential markets like the EU, India, and Australia to diversify customers.

c. Strictly Comply with Rules of Origin

• Ensure clear product origins to avoid trade defense lawsuits.
• Work closely with the Ministry of Industry and Trade and the Trade Remedies Authority to respond effectively to investigations.

5. Conclusion

The US tariffs on imported aluminum and steel pose significant challenges for Vietnamese exporters. However, opportunities remain for businesses that proactively adapt, explore new markets, and ensure compliance with international trade regulations.

Smart Link Logistics is committed to supporting businesses in optimizing logistics and facilitating aluminum and steel exports, helping Vietnamese goods reach global markets successfully.

If you need legal support or assistance with customs procedures in import-export activities, please contact Smart Link Logistics for fast and efficient consultation. With over 14 years of experience in the transportation field, we are proud to accompany you throughout your journey.