Steel and Aluminum Tariffs: Recovery and Risk Reduction for Federal Contractors

On March 1, the President announced his intention to impose tariffs of 25 percent on all imported steel and 10 percent on all imported aluminum. When finalized, the tariffs could increase costs of performance and restrict available supply for contractors across a range of industries. Federal contractors who manufacture or use products containing steel or aluminum should examine their existing contracts, as many may include risk-shifting provisions with opportunities for recovery through price adjustments or relief through schedule adjustments. Federal contractors also should consider re-evaluating pricing of offers and revising standard contract terms. Click here to read the full post on our Government Contracts blog.