U.S. President Joe Biden speaks at the United Steelworkers headquarters in Pittsburgh, Pennsylvania, Wednesday (local time). AP-Yonhap

Cautious optimism is growing that Korean producers of steel and aluminum will benefit from U.S. President Joe Biden's plan to triple tariffs on Chinese steel and aluminum imports, according to industry officials, Thursday.

After the U.S. president called for up to 25 percent tariffs on Chinese products on Wednesday (local time) to win over blue-collar voters in November's election, shares of Korea's major steelmakers and aluminum producers jumped sharply during Thursday's trading session.

Histeel, which produces steel pipes and tubes, hit the daily ceiling price on Thursday morning and closed at 3,430 won ($2.5), up 18.07 percent from the day before. POSCO Holdings and Hyundai Steel showed 5.12 percent and 4.57 percent hikes in their stock prices, respectively.

The stock price of POSCO Steeleon, a producer of galvanized steel sheet and aluminum coated steel sheet, soared to 52,900 won from 40,900 won on Thursday morning, although it closed at 45,300 won, up 10.76 percent from the day before. Other aluminum makers also showed a sharp rise in each of their stock prices on Thursday morning.

Industry officials anticipate limited impacts of the proposed U.S. tariffs on Korea's steel and aluminum exports — in the short run — because Korea accepted a quota that limits its annual steel exports to the United States below 2.63 million tons, in order to avoid high tariffs.

"Even if the U.S. reduces its steel imports from China, Korea cannot increase its steel exports to the U.S.," said Chang Sang-sik, head of industrial analysis at the Korea International Trade Association. "However, Korean company-owned factories in countries that did not accept a quota can increase shipping to the U.S."

He added that higher U.S. tariffs may reduce steel production in China in the long run, resolving the lingering oversupply in the global market and allowing Korean firms to sell their products at more reasonable prices. The China Iron and Steel Association has already announced its plan to cut steel production to cope with the slow domestic demand and rising inventories.

"Investors seem to expect the tariffs' potential benefits to Korean companies," Chang said.

There is also a view that the U.S. tariffs can justify Korean steelmakers' request for the government to investigate alleged dumping of China's low-priced steel sheets in the Korean market.

However, it still remains uncertain whether Biden will be able to fulfill his promise.

China's Ministry of Commerce urged the U.S. to respect the facts and multilateral rules, immediately cease its erroneous practices and return to a rules-based multilateral trading system after Biden called on the U.S. Trade Representative to consider tripling the existing 301 tariff rate on Chinese steel and aluminum, citing Chinese policies and subsidies for their domestic steel and aluminum industries.

Liu Pengyu, a spokesperson for the Chinese Embassy in Washington, also said that the U.S. is repeating the same mistake by seeking increased tariffs.