ReMA updates its action plan for incoming tariffs

There have been several developments since President Trump announced that he would impose tariffs on all imports of goods from Canada, Mexico, and China. ReMA is developing its strategy for how to work with the new administration to ensure as little disruption as possible for traders of recycled materials.

Current status of new tariffs

On February 1, President Trump signed Executive Orders implementing 25 percent tariffs on imports from Canada and Mexico and 10 percent tariffs on imports from China. There is a carveout for selected Canadian energy imports, which would receive a reduced duty rate of 10 percent.

Two days later, the leaders of Canada and Mexico separately agreed to a series of measures that delayed tariffs on U.S. imports from each country for 30 days, with the new date for tariffs to enter into effect on March 4.

Beginning February 4, the 10 percent new tariff went into effect on all imports from China. This tariff is in addition to any other remedies in place - such as the Section 301 tariffs on Chinese imports, imposed in 2018-19 or any antidumping or countervailing duties.

Because there is no exclusion process for these new tariffs, there is now a 10 percent tariff on imports of Chinese shredder wear parts. The current exclusion (from the Section 301 China tariffs) is set to expire on May 31, 2025.

The Chinese government announced several retaliatory measures against the U.S. tariffs, including 10-15 percent tariffs on U.S. exports of several types of energy products, agricultural machinery equipment, and certain cars and pickup trucks. These retaliatory tariffs go into place on February 10. China also imposed export control measures on several dozen metal products, including those used in industrial, defense, and energy products.

As part of the implementation of the paused tariffs from Canada, the Trump Administration included critical minerals in the scope of the reduced 10 percent tariff. The organization are currently seeking further clarification from the administration on the applicability of recycled critical minerals for this lower tariff rate and will keep members informed of their advocacy on this front moving forward.

Other trade and tariff policy discussions

On his first day in office, President Trump signed several Executive Orders that mandate a review of existing trade and tariff policies, while also requiring policy recommendations by early April.

These measures include reviews of the following:

• Section 232 tariffs on steel and aluminum imports;
• Section 301 tariffs on Chinese imports, including exclusions;
• Export control measures;
• 2020 Phase One Agreement with China;
• Permanent normal trade relations with China; and the
• United States-Mexico-Canada Agreement (USMCA), which is set to be reviewed beginning in July 2026.

President Trump has also signaled in recent public comments that he may impose new global tariffs on specific products by mid-February, listing semiconductors, pharmaceuticals, steel, aluminum, oil and gas, and copper.

Actions ReMA is taking in the coming weeks

The organization will ensure that members remain informed of all developments coming out of the new administration in a timely fashion. They are also strategizing internally and with counsel about the most appropriate communication and advocacy with the Trump Administration on the Canada/Mexico/China tariffs, as well as the trade and tariff policy reviews.

ReMA is prepared to provide feedback and recommendations to trade agencies on several of the policy reviews. Most of their advocacy will be based on existing ReMA policy positions on market access and free trade, but they may need member feedback if an urgent concern or challenge emerges.

Trade and tariffs will be a major focus of industry advocacy on Capitol Hill as part of the February 26 Capitol Hill fly-in. ReMA staff are working to ensure that members have current information on the political dynamics and impacts of the tariffs to share with Members of Congress and their staff.

Finally, they are also finalizing a Trade Policy Panel and discussions for the February governance meetings in Washington, DC.

Next steps for ReMA members

One aspect of the advocacy strategy on tariffs is to assemble a guidance document for members on the latest status of the tariffs and the potential impacts on recyclers. This will be available only for members and will be updated regularly as developments occur.

ReMA will have a new email account - [email protected] - where members can inquire about the tariffs and trade proposals by the new administration.

The goal is not to answer individual emails or questions, about whether a specific product is covered or not, but instead, the questions will be synthesized, and they respond based on the topics that members are most interested in.