Core Viewpoint - The U.S. government's expansion of tariffs on steel and aluminum products to include "derived products" is significantly increasing the financial burden on companies across various industries, with over 720 products now affected [2][4]. Group 1: Tariff Structure and Impact - The tariff structure is complex, with a 50% steel and aluminum tariff applied to the portion of products that use these materials, while the remaining portion incurs equivalent tariffs [4]. - As of August, over 420 new product categories were added to the tariff list, bringing the total to more than 720, affecting a wide range of goods from construction machinery to tableware [4][6]. - Companies are facing increased costs due to the inclusion of products that were previously only subject to equivalent tariffs, leading to inevitable price increases in the U.S. market [6][9]. Group 2: Industry Responses and Concerns - The construction machinery industry in Japan is actively lobbying the U.S. government to exclude their products from the steel and aluminum tariff list, reflecting growing anxiety among industry groups [7]. - Japan's exports of construction and mining machinery to the U.S. exceeded 800 billion yen in 2024, accounting for 4% of Japan's total exports to the U.S., with a 26% year-on-year decline noted in August [8]. - Companies in the tableware sector are also expressing concerns about potential price increases leading to reduced sales, with some considering halting U.S. sales if consumers do not accept price hikes [9]. Group 3: Broader Implications and Future Considerations - The mechanism for expanding steel and aluminum tariffs to derived products has been in place since Trump's first term, aimed at preventing tariff evasion through processing [6]. - There are indications that similar tariff structures may be applied to other sectors, such as semiconductors and wood products, which could further complicate the tariff landscape for various industries [10]. - Ongoing legal debates in the U.S. regarding the constitutionality of equivalent tariffs may lead to further adjustments in tariff policies, with experts suggesting that expanding the scope of derived products could mitigate some constitutional concerns [10].