As a specialty material critical to producing steel cans, tinplate steel is an essential component of a supply chain that supports American farmers, food processors, and millions of consumers. Given its unique characteristics and limited domestic production, a categorical exclusion for tinplate steel is urgently needed to mitigate its harmful economic and social impacts.

Tinplate steel accounts for just 2% of all U.S. steel production, with domestic producers meeting only 58.5% of demand. To bridge this gap, manufacturers must rely on imports. Certain grades and widths of steel required for food cans are unavailable in the U.S., necessitating sourcing from allied nations like Canada, Germany, and the Netherlands.

Tariffs on tinplate steel have significantly increased costs for food processors, leading to 14% year-on-year inflation for processed fruits and vegetables (February 2022–2023) and projected price hikes of up to 58 cents per canned product, affecting everyday essentials like food, pet food, and household items.

Studies estimate that proposed tariffs of up to 300% (proposed by the United Steelworkers Union) could result in the loss of 40,000 U.S. manufacturing jobs. For every one steelmaking job potentially protected, 600 manufacturing jobs are at risk, as increased costs force closures and reduce competitiveness in the global market.

Tariffs have driven up costs for consumers and eroded international market share for U.S. agricultural exports due to retaliatory tariffs. This disproportionately affects low-income households that depend on affordable canned goods.

Categorical Exclusion for Tinplate Steel

The Administration can provide immediate and explicit relief for tinplate steel from Section 232 tariffs via executive action. It would be a recognition of tinplate’s limited domestic production capacity, the lack of national security implications, and the sustained domestic demand for this raw material.

Commissioning a Department of Commerce Study
The congressional appropriators could consider legislative language should fund a comprehensive evaluation of the domestic tinplate steel industry and its role in the broader U.S. economy. This study should address:

• Trends in domestic demand for steel cans and canned foods.

• The costs and availability of tin mill steel for food can production.

• The impact of imported steel can components on U.S. manufacturers and consumers.

A categorical exclusion for tinplate steel is essential to safeguarding U.S. manufacturing, agriculture, and consumers. Failure to act will further harm an already strained supply chain, exacerbate inflation, and undermine the very industries tariffs are intended to protect. In the absence of immediate relief, a Department of Commerce study would provide the necessary data to guide future decisions and ensure balanced, equitable policies that support the broader economy. Congress must act now to protect American jobs, businesses, and families from unnecessary harm.