Impact of Trump Tariffs on European Steelmakers

European steelmakers' shares dropped following U.S. President Trump's announcement of new tariffs on steel and aluminium imports. Companies like ArcelorMittal, Voestalpine, Thyssenkrupp, and Salzgitter, which have significant sales in the U.S., are affected by the tariffs.

The shares of European steel producers slid on Monday in response to U.S. President Donald Trump's declaration of new tariffs on steel and aluminium imports. This move sparked concern across various steelmakers, reflecting the broader implications for international trade dynamics.

Approximately 25% of the steel used in the U.S. is imported, primarily coming from key trade partners such as Mexico, Canada, Asia, and Europe. Consequently, market leaders like ArcelorMittal, Voestalpine, Thyssenkrupp, and Salzgitter saw their stock values fall between 0.6% and 2.2% following the tariff announcement.

Financial analysts indicate ArcelorMittal is particularly vulnerable, with 13% of its sales dependent on the U.S. market. The company's finance chief has projected a possible $100 million quarterly impact from the tariffs, amid no current plans for accelerating shipments to the U.S. Thyssenkrupp, exporting roughly 5% of its output to the U.S., is also bracing for the repercussions.

(With inputs from agencies.)