President Donald Trump has announced an incentive program that ties reduced aluminum import tariffs to new domestic production capacity.
The action builds on prior proclamations that imposed duties on aluminum articles under section 232 of the Trade Expansion Act of 1962. It directs the Secretary of Commerce to solicit and approve onshoring plans from companies that commit to building, refurbishing, or expanding U.S. facilities capable of producing primary aluminum, with construction required to begin by January 20, 2029.
Approved plans allow the participating company to import a quantity of primary aluminum matching the facilities’ reasonably anticipated annual output at half the otherwise applicable section 232 duty rate. Tariff relief for refurbishment projects is limited to the value of the company’s investment.
The Secretary must consider factors including project timelines, cost and production projections, and allocation of tariff benefits when reviewing plans. All approved plans remain subject to monitoring, reporting requirements, and possible retroactive rescission if commitments are not met or fraud is found.
The proclamation continues the Secretary’s existing duty to monitor aluminum imports and advise the President on any need for further action. It supersedes inconsistent provisions of earlier executive actions and authorizes technical modifications to the Harmonized Tariff Schedule.