WASHINGTON ― On Monday, President Donald Trump declared his intention to implement extensive tariffs on imported steel, aluminum, and copper, as well as products like computer chips, semiconductors, and pharmaceuticals. This move aims to boost domestic production of these goods.

Trump made the announcement during a speech at a congressional Republican gathering at the Trump National Doral hotel and golf club located in Miami.

“It’s time for the United States to revert to the system that made us wealthier and more powerful than ever,” Trump stated, drawing parallels to the stringent tariffs advocated by former President William McKinley in the late 1890s.

Economists caution that tariffs, which are essentially taxes on imports, can result in increased prices for consumers. Although Trump campaigned with promises to reduce inflation, his actions just a week into his second term indicate that he intends to use tariffs—an approach he favored during his first term—to further both his foreign policy and domestic objectives.

Trump indicated that he will impose tariffs on steel, copper, and aluminum imports, stating these products are essential for America’s military needs.

“We need to bring production back to our country,” Trump emphasized. “There was a time when we built one ship every day. Now we’re unable to construct a single ship. We have lost that capability to other countries.”

Later, Trump revealed that he has not yet decided on specific tariff rates for steel and other metals but assured reporters onboard Air Force One that the rates would be “sufficient to protect our country.”

Trump has also indicated intentions to establish a universal baseline tariff for all imports, a concept he discussed during his 2024 presidential campaign. According to the Financial Times, Trump’s treasury secretary, Scott Bessant, is advocating for a 2.5% universal tariff, which could potentially reach the 20% tariffs Trump previously promised.

Trump stated that he envisions the universal tariff rate to be “substantially more” than 2.5%.

He informed Republicans at the retreat that “in the very near future,” his administration would also impose tariffs on computer chips, semiconductors, and pharmaceuticals to encourage domestic production of these vital items.

“They left us for Taiwan, which dominates around 98% of the chip business, by the way,” Trump remarked. “We need them to return, and we shouldn’t be giving them billions of dollars, like the absurd program that Biden is proposing.”

Trump was referring to the initiatives by former President Joe Biden’s administration aimed at boosting domestic semiconductor manufacturing through financial incentives. The CHIPS and Science Act, signed into law by Biden in 2022, included $53 billion in subsidies for microchip manufacturers to help the U.S. compete with China in semiconductor production.

Trump has also committed to imposing blanket 25% tariffs on goods from Mexico and Canada by February 1, citing issues related to illegal immigration and drugs crossing the borders. He mentioned a plan to introduce an additional 10% tariff on Chinese goods, on top of existing tariffs.

In a recent exchange regarding his deportation policies, Trump announced new tariffs on Colombia following President Gustavo Petro’s refusal to accept two military deportation flights for Colombian migrants. However, Trump later retracted the tariff threat once Petro agreed to accept the flights under conditions that met the Trump administration’s requirements.

(This story has been updated with additional information.)

Reach Joey Garrison on X @joeygarrison.