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Steel Import Tariffs -- Section 232 Stacking Explained (2026)

8 min read

Steel imports are subject to more overlapping tariff layers than almost any other product category. The combination of Section 122, Section 232, and potentially Section 301 and AD/CVD duties can push effective rates well above 100%. This playbook breaks down a $100,000 steel import from multiple countries, showing exactly how tariff stacking works and where the biggest cost differences lie.

The Steel Tariff Stack: Three (or Four) Layers

Every steel import to the US faces at least two tariff layers, and imports from China face three or four. Layer 1: Section 122 at 10% (all countries). Layer 2: Section 232 at 50% (all countries without exemption — the rate was doubled from 25% to 50% in June 2025). Layer 3 (China only): Section 301 at 25% on most steel products. Layer 4 (varies): Anti-dumping and countervailing duties (AD/CVD) on specific products from specific countries. AD/CVD rates on steel can range from 0% to over 500%. These layers all stack — you pay each one on top of the others.

Example: $100,000 of Steel from a Non-China Source

Importing $100,000 of hot-rolled steel from Japan (no Section 301, no USMCA). Section 122: 10% = $10,000. Section 232: 50% = $50,000. MPF: 0.3464% = $346.40 (but capped at $614.35). HMF: 0.125% = $125. Shipping (estimated): $5,000. Total: approximately $165,471. Effective rate: 65.5%. Before even checking for AD/CVD duties, you are paying 60% in tariffs alone. Japan does not currently have major AD/CVD orders on hot-rolled steel, but always verify with the ITC database.

Example: $100,000 of Steel from China

The same $100,000 of steel from China adds Section 301. Section 122: 10% = $10,000. Section 232: 50% = $50,000. Section 301: 25% = $25,000. MPF: $346.40 (capped at $614.35). HMF: $125. Shipping: $5,000. Subtotal: approximately $190,471 (90.5% above product value). But wait — Chinese steel also faces some of the highest AD/CVD rates in existence. Depending on the specific product and producer, AD/CVD rates range from 0% to over 500%. At even a moderate 100% AD/CVD rate, an additional $100,000 in duties would bring the total to $290,471 — nearly triple the product cost.

USMCA: Steel from Canada

Canada presents a unique case. USMCA can eliminate MFN base duties on qualifying steel, but Section 232 tariffs are NOT covered by USMCA. Qualifying Canadian steel: USMCA base = 0%. Section 122: 10% = $10,000. Section 232: 50% = $50,000. Total tariffs: 60% ($60,000). Canada does NOT have a Section 232 exemption — the June 2025 doubling applied to all countries. However, Canadian softwood lumber has a separate CVD order (8-20%). For steel specifically, the rate from Canada is the same 60% as from Japan or most other countries.

Country Comparison: Steel at $100,000

Japan: 60% ($60,000 in tariffs). South Korea: 60% ($60,000), but some products face AD/CVD of up to 60% additional. Brazil: 60% ($60,000), plus AD/CVD up to 84% on some products. Canada: 60% ($60,000), plus CVD on some products. Turkey: 60% ($60,000), plus AD/CVD on rebar up to 155%. India: 60% ($60,000), plus AD/CVD on pipe/tube up to 118%. China: 85% ($85,000), plus AD/CVD up to 522%. The base tariff story is similar for all countries (60%), but China's Section 301 adds 25 percentage points. The real differentiator is AD/CVD — these product-specific duties can dwarf all other tariffs combined.

AD/CVD Warning: The Fourth Layer

Steel is the most heavily targeted product category for anti-dumping and countervailing duties. Active orders exist against steel from China, Vietnam, India, South Korea, Turkey, Brazil, Indonesia, and many other countries. Rates vary enormously by product type and producer. Hot-rolled steel, cold-rolled steel, corrosion-resistant steel, stainless steel, steel pipe, rebar, wire rod, and many other specific products each have their own AD/CVD orders with their own rates. Before importing ANY steel product, check the ITC AD/CVD database at usitc.gov for active orders on your specific product from your specific country. AD/CVD rates on steel are frequently 50-200% and can exceed 500%. This is not a theoretical risk — it is the single most common cause of unexpected duty bills for steel importers.

Key Takeaway

Steel imports face a minimum 60% tariff rate (Section 122 + Section 232) regardless of origin country. From China, add Section 301 for 85%+. And the biggest wildcard is AD/CVD duties — which can add anywhere from 0% to 500%+ depending on the specific product and producer. Always check the ITC database before placing a steel order. Use the calculator below for the base tariff estimate, then layer AD/CVD rates on top.

Try It: Calculate Your Duty

Frequently Asked Questions

What is the tariff on steel imports in 2026?
All steel imports face a minimum 60% tariff: 10% Section 122 + 50% Section 232. Chinese steel adds 25% Section 301 for 85% minimum. AD/CVD duties can add 0-500%+ on top of these rates.
Does USMCA exempt Canadian steel from tariffs?
No. USMCA eliminates MFN base duties on qualifying goods, but Section 232 tariffs (50%) are NOT covered by USMCA. Canadian steel still faces 60% in combined tariffs (Section 122 + Section 232).
Why are steel tariffs so high?
Steel tariffs stack multiple programs: Section 122 (broad-based), Section 232 (national security), Section 301 (China trade practices), and AD/CVD (unfair pricing/subsidies). Each program was enacted under different legal authority and they all apply simultaneously.
How do I check for AD/CVD duties on steel?
Search the ITC AD/CVD database at usitc.gov/trade_remedy/731_702.htm using your steel product's HTS code. AD/CVD orders are product-specific and producer-specific, so general tariff calculators cannot capture them.
Which country has the lowest steel import tariffs?
All countries face the same base rate of 60% (Section 122 + Section 232). The differences come from Section 301 (China only, +25%) and AD/CVD orders (varies by country and product). Countries without active AD/CVD orders on your specific product offer the lowest total rate.

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