US Steel is surging after Mnuchin says the steel tariffs are still on for China

Carolyn Kaster/AP

Treasury Secretary Steven Mnuchin testifies during a hearing before the House Appropriations subcommittee on budget on Capitol Hill in Washington, Tuesday, March 6, 2018, about "Financial Services and General Government."

• US Steel Corporation is surging Tuesday after Treasury Secretary Steven Mnuchin said the steel and aluminum tariffs still apply to China.
• On Monday, President Donald Trump said $150 billion worth of tariffs on Chinese imports would be suspended. US Steel shares fell in anticipation the steel and aluminum tariffs were included.
• Watch US Steel trade in real time here.

US Steel is surging Tuesday, up 3.57%, after Treasury Secretary Steven Mnuchin said steel and aluminum tariffs will remain in place for China. The gains have erased the losses that developed on Monday after Trump said the US would suspend tariffs on $150 billion worth of Chinese imports.

Other steel manufacturers are also gaining on the news, with Nucor and Steel Dynamics are both up 1.2%.

"As it relates to China, the steel and aluminum tariffs will remain enforced," Mnuchin said at a Senate appropriations committee hearing on Tuesday. "Those were not part of our discussions."

US Steel's stock has moved directly in line with tariff announcements. When Trump first announced the tariffs in early March, the stock jumped. At the time, Cowen and Company analyst Novid Rassouli told Business Insider that the steel manufacturer's operating income could become "laughably high."

US Steel is down 2.77% this year.

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