Renta 4 | Trump has signed an executive order that would allow the Department of Commerce to reduce tariffs on steel and aluminium from 50% to 25% for Canada, provided certain conditions are met.
We recall that Trump imposed a 50% tariff on imports from Canada on 1 April. The impact of the tariffs is around $150 million/quarter at EBITDA level, although we believe that ArcelorMittal would be passing on part of this impact to its customers.
Assessment: Positive news if this reduction is finally approved. The annual impact on EBITDA would be a maximum of $300 million, almost 5% of Renta 4’s estimate for 2025 EBITDA. P.O. €39.0. OVERWEIGHT.
