U.S. President Donald Trump has announced plans to impose a 25% tariff on all steel and aluminum products imported into the United States, leading to a downturn in domestic steel stocks.
POSCO Holdings shares traded at 231,000 won on the KOSPI market at 9:11 a.m. on the 10th. The stock price fell by 3.35% (8,000 won) from the previous trading day. At the same time, Hyundai Steel's stock also recorded a drop of 2.26% (500 won) to 21,650 won.
In addition, the stock prices of TCC Steel, POSCO M-Tech, KG Steel, SeAH Steel, and Dongkuk Steel Mill have all shown a decline.
Investors interpreted that Trump's further imposition of tariffs would disrupt the export of domestic steel products, prompting sell-offs. Trump noted to reporters aboard Air Force One on the 9th (local time), "Any steel coming into the United States will incur a 25% tariff."
During his first term, Trump also applied Section 232 of the Trade Expansion Act to impose a 25% tariff on steel products on national security grounds. At that time, South Korea accepted a quota system limiting export volumes in exchange for being exempted from the steel tariffs following negotiations with the United States.