Titanium Exempt from New US Reciprocal Tariffs Amid Broader Aerospace Uncertainty

Titanium Ingot

Titanium Scrap and Alloys Dodge Latest Tariff Wave, but Market Unease Persists

Titanium and its derivatives, including scrap and ferro-titanium, were notably exempted from the latest round of US reciprocal tariffs announced on April 2. Annex II of President Donald Trump’s executive order outlined the list of exemptions, sparing various nonferrous metals, including titanium, from additional duties.

However, existing tariffs on titanium products remain unchanged. These include a 60% duty on Chinese titanium sponge and a 15% duty on unwrought titanium from Japan, Kazakhstan, and Saudi Arabia. While titanium scrap imports from the EU and UK are also exempt, pre-existing duties—such as the 20% tariff on Chinese titanium added in March—still apply.

Meanwhile, concerns linger about supply disruptions, particularly in vacuum-grade titanium scrap. The US depends heavily on EU and UK sources to meet demand for ingot melting in aerospace-grade production.

Aerospace Industry Caught in the Crossfire of Uncertain Trade Measures

The aerospace supply chain could still face ripple effects, especially concerning finished parts, components, and jet engines. Major OEMs such as Airbus, Boeing, and Rolls-Royce remain cautious, stating that they are assessing the impact of the new tariffs.

Jet engines like CFM’s Leap-1A and 1B, which power the Airbus A320neo and Boeing 737 Max, span a US-French supply chain, raising questions about the impact of cross-border tariffs on subcomponents. Landing gear systems produced by Safran for the Boeing 787 and turbine modules from GE in the US to France further complicate the situation.

While titanium producers currently report no impact on OEMs for titanium-based parts, the ambiguity surrounding composite materials and mixed-alloy components could lead to future disruptions.

China's Tariff Retaliation Raises Stakes for US Aerospace Exports

In response, China has imposed a 34% tariff on all US imports, with no exemptions, escalating the trade conflict. This will impact US titanium exports to China—totaling 1,300t in 2024—mainly in bars, rods, and wire, as well as aerospace components vital to Comac’s C919 jet program.

China’s C919 relies on US-sourced Leap-1C engines, avionics from Honeywell Aerospace, GE Aerospace, and Collins Aerospace, making it vulnerable to retaliatory tariffs.

Although China sources the majority of its titanium domestically, these duties highlight the fragile interdependence of global aerospace production.

The Metalnomist Commentary

Titanium’s tariff exemption provides momentary relief to US aerospace and scrap processors, but the real uncertainty lies in composite supply chains. As the US and China entrench their trade defenses, aerospace firms must prepare for further regulatory fragmentation. Strategic stockpiling, diversified sourcing, and diplomatic engagement will define resilience in the next phase of industrial policy shifts.