US steel and aluminum tariffs doubled to 50% on June 4, an order signed by President Donald Trump with immediate effect, leaving no buffer time for in-transit goods. This sudden increase, from the previous 25%, has blindsided Taiwanese steel exporters, especially those operating on a Delivered Duty Paid (DDP) basis who bear all costs, including tariffs.

Taiwanese companies have been hoping for a grace period, but the White House statement confirmed that there is indeed no grace period. While theoretically borne by importers, US clients are already seeking discounts, squeezing already thin margins. The unexpected tariff hike is expected to significantly impact US import demand and future orders for Taiwanese steel products.