WTO Issues a Bad Decision on Section 232 Tariffs

Washington, D.C. – The World Trade Organization announced on Friday that a dispute panel had ruled against the United States in a trade case filed over Section 232 tariffs on steel and aluminum imports.

The Trump administration originally issued the tariffs in 2018 in response to surging imports that threatened America’s national and economic security. While some countries have since reached quota agreements with the U.S., Section 232 remains largely in place and has been upheld by the Biden administration.

Alliance for American Manufacturing President Scott Paul said:

“A thriving domestic steel sector is essential to national security. The long-term trends of high volumes of imports and subpar capacity utilization erode the capabilities and competitiveness of American steel. That’s why the Section 232 action taken under the last administration was fully justified, and why the Biden administration must vigorously defend it.

“Yet again, the WTO has been blinded by philosophy and overstepped its authority. This panel decision shouldn’t change our steel tariff policy in any way.”

After its implementation, Section 232 led to a resurgence in America’s steel sector, including billions of dollars in new investments and the creation of thousands of new, well-paid jobs. It must stay in place as long as the global steel overcapacity crisis remains unresolved.