Section 232 Steel Tariffs 2026: Complete Rate Guide

As of the Presidential Proclamation modification effective June 8, 2026, Section 232 steel tariffs sit at 50% on covered steel articles and derivative steel products classified under HTS chapter 72 (and related derivative provisions), with a metal-content exemption carve-out applying to no more than 15% of an article's value where non-steel content dominates. This article describes public regulatory information as of publication; it is not customs or legal advice, and importers should confirm current rates for a specific HTS code against CBP and USTR's own published schedules before relying on them for entry or cost planning.

How Section 232 steel tariffs work

Section 232 of the Trade Expansion Act of 1962 gives the President authority to impose import restrictions, including tariffs, on grounds of national security, following a Commerce Department investigation. The steel tariff program, first imposed in 2018 and modified multiple times since, applies to steel articles under HTS chapter 72 and a growing list of downstream "derivative" products, meaning goods manufactured from steel that would otherwise fall outside chapter 72's own classification but are swept into Section 232 coverage because they are substantially steel by value or composition. The 50% rate effective under the June 8, 2026 modification represents the current baseline; earlier phases of the program set the rate lower, and importers relying on older cost models built around a prior rate should re-verify against the current proclamation rather than assuming past figures still apply.

The metal-content exemption carve-out

A specific carve-out exempts articles where the covered metal (steel, in this case) represents no more than 15% of the article's total value from the full derivative tariff rate, recognizing that some manufactured goods contain only incidental steel content, a steel fastener in an otherwise non-metal product, for example, and would be disproportionately taxed if treated identically to primarily-steel goods. Correctly applying this exemption requires a documented value breakdown of the article's metal content, not simply an assertion that the exemption should apply, and an unsupported exemption claim can itself become the basis for a post-entry compliance review; CBP has previously scrutinized metal-content exemption claims closely given their direct effect on duty owed.

Which HTS chapters are covered

Steel-specific Section 232 coverage centers on HTS chapter 72, with derivative product coverage extending into other chapters, currently chapter 73 (articles of iron or steel) for many of the most common derivative categories, per the rate schedules referenced in TariffWatch's own methodology page, which documents chapter-level rate assignments alongside the underlying USTR source material and Commerce Department trade compliance guidance. Aluminum (chapter 76) and copper (chapter 74) run parallel but separate Section 232 programs with their own rate schedules and are not interchangeable with the steel program even where a single shipment contains multiple covered metals, and a mixed-metal shipment may require separate duty calculations run against each applicable chapter's own current rate rather than a single blended figure.

The proposed BIS-14 derivative article expansion

Separately from the current 50% baseline rate, the Bureau of Industry and Security published a Federal Register notice on Aug 6, 2026 (Federal Register document 2026-15961) proposing 14 additional derivative article categories for both steel and aluminum, each with its own proposed additional rate on top of the existing baseline. These 14 categories are proposed only, not yet finalized as of this article's publication; the public comment window on the proposal, filed under regulations.gov docket BIS-2026-0331 (XRIN 0694-XC166), opened Aug 4, 2026 and closes at 11:59 PM Eastern Time on Wednesday Aug 27, 2026. An importer whose products fall into one of the 14 proposed categories faces potential additional exposure if the proposal is finalized largely as written, which is precisely the scenario the public comment process exists to influence before finalization.

How long the current exemptions run

The current metal-content exemption and related duty relief provisions on aluminum, most steel, and most copper articles and derivatives are structured to run through Dec 31, 2027 under the current proclamation framework, per TariffWatch's methodology page tracking the underlying rate schedule. Importers building multi-year sourcing or pricing models should treat this date as a planning checkpoint, not a guarantee that the underlying rate structure itself remains unchanged before then, since Section 232 modifications have historically been issued via proclamation with limited advance notice.

How the rate has changed since the program began

Section 232 steel tariffs have been modified multiple times via presidential proclamation since the program's original 2018 imposition, with each modification issued as its own proclamation rather than a single fixed rate carried forward unchanged. The June 8, 2026 modification setting the current 50% rate is the most recent of these adjustments as of this article's publication. Because each change is issued by proclamation rather than statute, the rate can be modified again with limited advance public notice, which is exactly why TariffWatch's methodology page documents a version string tied to the specific proclamation currently in effect rather than treating "the Section 232 rate" as a single static figure. Importers building annual budgets or long-term supplier contracts around today's 50% rate should build in contingency for a future rate change rather than treating it as fixed through any specific future date, with the narrow exception of the Dec 31, 2027 exemption-structure date discussed above, which is itself a feature of the current proclamation and not immune to further modification.

A worked example (illustrative, not a real shipment)

To illustrate the calculation mechanics, not as real transaction data, consider a hypothetical importer bringing in a shipment of steel derivative articles (HTS chapter 73) with a total customs value of $500,000 and no qualifying metal-content exemption. At the current 50% rate, the Section 232 duty alone on this hypothetical shipment would be $250,000, before any applicable Section 301 duty or standard Most Favored Nation tariff that may separately apply to the same HTS code and country of origin. If a portion of that shipment, hypothetically $50,000 of the $500,000, qualified for the metal-content exemption because it consisted of articles where steel represented under 15% of value, that portion would be excluded from the 50% calculation, reducing total Section 232 duty on this hypothetical shipment to $225,000. This example is illustrative only; actual duty calculations depend on the specific HTS classification, country of origin, and documented exemption eligibility of a real shipment, and should be confirmed against CBP's own entry summary process or a licensed customs broker, not estimated from a general example like this one.

How importers should calculate exposure today

A practical exposure calculation starts with confirming the correct HTS classification for the specific product, since a misclassification into or out of a derivative category directly changes duty owed. From there, confirm whether the article qualifies for the metal-content exemption based on a documented value breakdown, then apply the current 50% baseline rate (or the applicable chapter-specific rate for aluminum or copper articles) to the dutiable value, and separately flag any HTS codes that fall within the 14 proposed BIS-14 categories as carrying additional exposure pending the proposal's outcome. Running this calculation against actual annual customs value, rather than a single representative shipment, gives a more accurate picture of total program-level exposure than spot-checking individual entries.

Why this differs from Section 301 tariffs

Section 232 tariffs are frequently confused with Section 301 tariffs, but the two programs have different legal bases, different product coverage, and can both apply to the same shipment simultaneously in some cases (a "stacking" scenario). Section 232 is a national-security-grounded program administered jointly by Commerce/BIS and the President's proclamation authority; Section 301 addresses unfair trade practices by specific trading partners (most prominently China) and is administered by USTR. An importer confirming Section 232 exposure alone, without separately checking Section 301 applicability for the same HTS code and country of origin, can significantly underestimate total tariff exposure on a shipment subject to both.

What customs brokers say about the most common classification mistakes

Brokers handling Section 232-covered steel shipments report a consistent pattern of classification disputes centered on borderline derivative articles, products that combine steel with other materials in a way that makes the "primarily steel" determination genuinely debatable rather than obvious. A fabricated steel bracket sold as part of a larger non-steel assembly, for example, can be classified either as a standalone steel derivative article or as a component of the finished assembly depending on how the shipment is documented and entered, with materially different duty consequences. Getting this classification right at the time of entry, rather than discovering a dispute during a post-entry CBP review, is one of the most consequential decisions in the entire Section 232 compliance process, since a reclassification after the fact can trigger both additional duty owed and potential penalty exposure for an inaccurate original entry.

What to do during the open comment window

Any importer whose products fall within the 14 proposed BIS-14 derivative categories, or whose supply chain could be affected by their finalization, has a direct interest in submitting a public comment before the Aug 27, 2026 deadline. A comment does not need to be lengthy or legally drafted to be counted in the public record; it needs to identify the specific HTS codes or product categories affected and describe the real business impact of the proposed additional rate. TariffWatch's comment-letter tool generates a draft based on entered HTS codes and business context for importers who want to participate but don't have in-house trade counsel available before the deadline.

Where things stand for downstream manufacturers, not just direct importers

A domestic manufacturer that does not import steel directly but buys from a U.S. distributor or fabricator can still feel Section 232's effects indirectly, since the distributor's own landed cost, inflated by the tariff, generally passes through into the price of domestically purchased steel and steel-derivative inputs, even when the manufacturer itself never files a customs entry. This indirect exposure is harder to quantify than a direct importer's own duty bill, but sourcing and procurement teams evaluating total input cost should not assume Section 232 is purely an "importer's problem" if a meaningful share of their supply chain touches imported steel at any earlier stage, even one step removed from their own purchase order.

FAQ

What is the current Section 232 steel tariff rate? 50%, effective under the Presidential Proclamation modification of June 8, 2026, applying to covered steel articles under HTS chapter 72 and related derivative provisions, subject to the metal-content exemption carve-out described above.

Does the metal-content exemption apply automatically, or does an importer have to claim it? An importer must claim and support the exemption with a documented value breakdown showing the covered metal represents no more than 15% of the article's total value; it is not applied automatically by CBP based on product description alone, and an unsupported exemption claim can itself become the basis for a post-entry compliance review.

Are the 14 proposed BIS-14 categories already in effect? No. As of this article's publication, they are proposed only, published in the Aug 6, 2026 Federal Register notice and open for public comment through Aug 27, 2026. Finalization, and the exact rates and effective date if finalized, had not yet been published as of this writing.

How is copper different from steel under Section 232? Copper runs under its own Section 232 program (HTS chapter 74) with its own rate schedule, separate from the steel program under chapter 72. An importer of copper products should not assume steel program rates or exemptions apply directly; each metal's program has its own current rate and exemption terms.

Where can I verify the current official rate for my specific HTS code? USTR's Section 232 program page and the Commerce Department's trade.gov program pages are primary sources for current proclamation text and rate schedules; a specific entry's actual duty calculation should be confirmed against CBP's own guidance or a licensed customs broker given the fact-specific nature of HTS classification and exemption eligibility, particularly for borderline derivative-article determinations where the correct classification is genuinely disputable rather than obvious from the product description alone.

Related reading: see how the Aug 27 2026 BIS comment window affects metals importers for the full comment-submission process, and our methodology page for the underlying rate-schedule sourcing. Run your own exposure estimate with the free Section 232 exposure checker, or draft a public comment before the window closes at /tariffwatch/submit-letter.

FAQ

What is the current Section 232 steel tariff rate?

50%, effective under the Presidential Proclamation modification of June 8, 2026, applying to covered steel articles under HTS chapter 72 and related derivative provisions, subject to the metal-content exemption carve-out described above.

Does the metal-content exemption apply automatically, or does an importer have to claim it?

An importer must claim and support the exemption with a documented value breakdown showing the covered metal represents no more than 15% of the article's total value; it is not applied automatically by CBP based on product description alone, and an unsupported exemption claim can itself become the basis for a post-entry compliance review.

Are the 14 proposed BIS-14 categories already in effect?

No. As of this article's publication, they are proposed only, published in the Aug 6, 2026 Federal Register notice and open for public comment through Aug 27, 2026. Finalization, and the exact rates and effective date if finalized, had not yet been published as of this writing.

How is copper different from steel under Section 232?

Copper runs under its own Section 232 program (HTS chapter 74) with its own rate schedule, separate from the steel program under chapter 72. An importer of copper products should not assume steel program rates or exemptions apply directly; each metal's program has its own current rate and exemption terms.

Where can I verify the current official rate for my specific HTS code?

[USTR's Section 232 program page](https://ustr.gov) and the [Commerce Department's trade.gov program pages](https://www.trade.gov) are primary sources for current proclamation text and rate schedules; a specific entry's actual duty calculation should be confirmed against CBP's own guidance or a licensed customs broker given the fact-specific nature of HTS classification and exemption eligibility, particularly for borderline derivative-article determinations where the correct classification is genuinely disputable rather than obvious from the product description alone.