Tariffs introduced by U.S. President Donald Trump on steel and aluminum imports have disrupted supply chains for companies manufacturing a range of products, including fasteners, Fastener World reports.

Unlike the tariffs implemented by Trump in 2018, the latest Section 232 tariffs cover imported screws, nails, and bolts, increasing costs of both foreign and domestic metals used to manufacture these components.

Manufacturing executives have stated that the U.S. lacks sufficient factories to produce the necessary steel wire, screws, and other fasteners to replace imported goods. The tariffs are disrupting supply chains for manufacturers, prompting some U.S. companies to seek domestic suppliers for small components.

“The production capacity we need does not exist in the U.S.,” stated Semblex president Gene Simpson. “Suppliers are limited.”

Fastener industry insiders estimate the U.S. currently has capacity to replace about 20% of all fastener imports, hamstrung by a skilled worker shortage, machinery backlog and limited domestic wire rod capacity, among other things.

With price increases difficult to secure, some construction contractors may delay projects while seeking ways to mitigate tariff impacts.

The U.S. imported  $178 billion worth of steel and aluminum products last year. The 25% metals tariff is more than three times the value of goods impacted by the initial tariffs in 2018.

A portion of of those total imports came from China, which currently faces 145% tariffs. Chinese fasteners comprised 18% ($1.2 billion) of total U.S. fastener imports in 2024, according to the Commerce Department.

Amid escalating trade tensions, some Chinese exporters are ditching shipments mid-voyage and surrendering containers to shipping companies to avoid crushing tariff costs.