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Steel Tariffs Push Up Canned Food Prices

New York Times Business •
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President Trump's 50% steel tariffs under Section 232 have left American tin‑plate producers scrambling. Can manufacturers, represented by Scott Breen of the Can Manufacturers Institute, say domestic output has not increased, forcing them to import more than 80% of the thin steel used for cans. The added duty inflates the material cost that makes up roughly a third of wholesale canned‑food prices and strain household budgets.

Government data show canned fruits and vegetables rose 5.7% year‑over‑year in March, outpacing the 2% overall food price gain. With imports dominating, U.S. Steel announced it will restart its Gary, Indiana tin‑plate line next year, a move the Commerce Department touts as evidence the tariffs are spurring domestic investment and may influence retailer sourcing decisions.

Ohio Coatings, one of the few remaining processors, imports three‑quarters of its blackplate and absorbs part of the tariff through modest single‑digit price hikes. CEO Dave Luptak argues margins are squeezed and has asked the administration for a temporary waiver to give U.S. producers time to rebuild capacity. Boost demand for canned goods that evade the duty.