Over four years since the Section 232 tariffs on aluminum took effect, the U.S. beverage industry alone has paid more than $1.7 billion in tariffs. Brewers and beverage producers pay a higher price for aluminum because rolling mills and smelters include tariffs in their prices – regardless of whether the metal is subject to Section 232 tariffs.
“From the grocery store to the gas pump, American families are feeling inflation pressure in every aspect of life. These new numbers show that Section 232 tariffs continue to raise production costs and drive up consumer prices,” said Beer Institute Director of Public Affairs Alex Davidson. “It’s time for the Administration to provide Section 232 aluminum tariff relief.”
The research conducted on behalf of the Beer Institute by HARBOR Aluminum, an independent authority on the aluminum industry and its markets, found that between the implementation of Section 232 aluminum tariffs on March 23, 2018, and August 31, 2022, the U.S. beverage industry paid $1.714 billion in Section 232 tariffs on 8.203 million metric tons of aluminum. Of that amount, only $120 million (7%) went to the U.S. Treasury. HARBOR Aluminum estimates U.S. rolling mills, U.S. smelters and Canadian smelters received $1.594 billion (93%) of the total by charging end-users (such as U.S. brewers) a tariff-burdened price regardless of whether the metal was meant to be tariffed based on its content or origin.