Section 232 – 25% Tariff on Stainless Steel Bar Products

June 7, 2018

Dear Valued Customer:

The recent expiration of exemptions for most countries under Section 232 of the Trade Expansion Act of 1962 for steel imports by the Department of Commerce, is going to affect products that we currently supply to your company.

The Presidential proclamation originally published on March 8, 2018 established that a new tariff of 25% shall be applied to steel articles, including stainless steel bar that enter the country or are withdrawn from warehouse for consumption on or after June 1st, 2018. Although there are domestic producers of stainless steel, a significant portion of supply is imported from countries impacted by the tariffs.

Rolled Alloys is working diligently to minimize the impact of the tariff on our products and customers. At this time, due to rising costs resulting from the tariff many stainless steel products will require price increases.

  • For transactional business we intend to roll the tariff into our pricing for simplicity

  • For contracts set as base price plus surcharge the applicable tariff will be applied to the surcharge portion.

  • This tariff does not apply to Nickel, Titanium, or Cobalt Alloys that we provide.

It is Rolled Alloys goal to work collaboratively with our customers and vendors as we all adjust to this new factor in the marketplace. Negotiations are ongoing between our government and other countries. If a change to the tariff occurs, we will send out further communication. Further tariff information is available at Commerce Department -Section 232 FAQ

Please, contact your Rolled Alloys sales contact(s) with any questions.

Best Regards,
Jason Wilson
Director – Bar Products