Alcoa incurred around $115m in costs due to the tariffs on aluminium products exported to the US from Canada.
The Pittsburgh, USA-based company sustained these costs in the second quarter of 2025 marking a $95m increase on the first quarter.
Molly Beerman, executive vice president and chief financial officer at Alcoa, stated: “While lower metal prices and unfavourable currency were more than offset by lower alumina costs, the segment was impacted by [an additional] $95 million in US Section 232 tariffs which includes the increase in the tariff rate from 25 to 50% effective June 4th.”
In response, Alcoa has attempted to offset the rising costs related to tariffs.
William Oplinger, president and CEO of Alcoa added: “Throughout the quarter, we steered through frequent tariff updates that demanded agile decision-making and rapid adjustments across both sales and supply operations.
“We redirected portions of our Canadian production to serve non-U.S. customers to mitigate Section 232 tariff impacts.
“In parallel, we sustained active advocacy and engagement with policymakers on both sides of the U.S.–Canada border.”
Despite these efforts Alcoa still expect around $90m in tariff costs during the third quarter of the year.
However, the company does expect alumina costs to be ‘favourable by approximately $100m sequentially’ during the same period.
