U.S. President Trump’s announcement on Monday morning that he plans to impost new 25% tariffs on steel and aluminum imports have boosted shares of U.S. producers, but shares of producers overseas fell as traders worried about reduced demand and disrupted flows.
American Iron and Steel Institute data shows that Canada is the dominant supplier of imported aluminum, while Canada, Brazil, Mexico, South Korea and Vietnam are the biggest sellers of steel into the U.S.
Shares of U.S. companies that produce the two metals jumped in premarket trading. Nucor (NYSE:NUE), the biggest U.S. steelmaker, was up 9.5% and Century Aluminum (NASDAQ:CENX) jumped 8.5%.
Producers in other countries saw their shares drop as a result of the announcement. The world’s second-largest steelmaker, ArcelorMittal (NYSE:MT), was down 2.2%.