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Russian Aluminum to Face 200% Tariffs; Tariffs Hiked to 35% and 70% on Other Products

On the first anniversary of the Russian invasion of Ukraine, the White House said that, beginning March 10, there will be a 200% tariff on Russian aluminum exports, including derivative products, and, beginning on April 10, aluminum articles from other countries that used any aluminum from Russia also will be tariffed at 200%, unless those third countries also impose 200% tariffs on imported Russian aluminum.

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The Aluminum Association said importers already had moved away from Russian aluminum due to past sanctions, and that Russia accounted for 3% of aluminum imports last year, about 460 million metric tons. "The aluminum industry stands united in support of any and all efforts deemed necessary by the U.S. government and its allies to address this ongoing crisis. This is a global security and humanitarian disaster that goes far beyond the interests of any single industry. We will work closely with our membership to help ensure compliance with these newly announced sanctions," the group said.

The U.S. also will increase the tariffs on certain Russian products previously subject to a 35% tariff to 70% -- and will increase non-most-favored-nation tariffs to 35% on some minerals and chemicals from Russia. The annex that lays out which products will have 35% tariffs and which will have 70% tariffs has not been issued yet. The changes from 35% to 70% and up to 35% will take effect April 1.

The administration noted that even though Russian aluminum exports to the U.S. have declined since Section 232 aluminum tariffs began in 2018, it's still the fifth-largest source of imported aluminum. It said that imports of Russian aluminum also increased in both 2021 and 2022.

The ranking member of the House Ways and Means Committee, Rep. Richard Neal, D-Mass., noted the proclamations and said that Congress and the administration have "acted in concert to hold Putin accountable and deepen the economic consequences. We have a responsibility to ensure this commitment endures, and that freedom rises above all.”

The United Steelworkers, who represent some aluminum smelter workers in addition to the steel industry, also responded warmly to the announcement.

“Over the past year, our nation, in cooperation with many of our friends and allies, imposed sanctions on Russia to limit materials and capital that support its war against Ukraine. However, Russia and Russian producers continue to profit from exports," the union said. "The United States Trade Representative (USTR) and Secretary of Commerce today announced actions on products ranging from pig iron to steel products, nickel, platinum, copper, lead and others that are designed to erase the benefits Russian producers continue to reap and to starve Russia’s war effort."

The union said the tariffs on aluminum and other products "are designed to eliminate Russian aluminum from entering our market directly and through third countries.

"While these important measures will need to be carefully assessed in the coming weeks to ensure their effectiveness, this is a critical step forward."