Trump Orders Review of China Tariffs as Steel Excess Capacity Nears 721 Million Tons
Updated
Updated · Fox News · Jun 29
Trump Orders Review of China Tariffs as Steel Excess Capacity Nears 721 Million Tons
3 articles · Updated · Fox News · Jun 29
Summary
On his first day back in office, Donald Trump signed the America First Trade Policy executive order, telling his administration to review whether existing tariffs and duties on Chinese goods are strong enough to curb dumping.
The push targets what the report describes as Beijing’s use of subsidies to flood foreign markets with below-cost goods, undercut U.S. producers and build dependence on Chinese supply chains.
China controls about 60% of rare-earth mining and nearly 90% of refining, while its steel exports rose 7.5% from 2024 to 2025; the Trump administration has also opened a probe into Chinese steel overcapacity.
That overcapacity is expected to reach 721 million metric tons by 2027, underscoring risks to U.S. sectors from steel and autos to fertilizer, chemicals, lumber and food production.
Can America's aggressive trade policies build truly independent supply chains, or just rearrange global dependencies around China?
As the U.S. builds new trade alliances, must other nations choose between American partnership and Chinese supply chains?
2026 Steel Market Report: U.S. Tariff Actions, 680 Million Ton Global Overcapacity, and the Path Forward
Overview
As of June 2026, the US government is actively pursuing major tariff actions and investigations to address unfair trade practices, with a strong focus on structural excess capacity in global manufacturing. The Office of the United States Trade Representative (USTR) launched new Section 301 investigations on March 11, 2026, targeting a wide range of economies suspected of practices that burden or restrict US commerce. These efforts aim to prevent import surges that could harm American producers and workers, especially in sectors like steel where China is seen as oversupplying the market. Hearings for these investigations were held from April 28 to May 1, 2026.