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Canada’s Prime Minister Mark Carney will impose measures to counter the oversupply of metal and aluminium imports and will enhance levies on the US, as more and more protectionist measures are deployed within the international tariff warfare over essential industrial inputs.
Carney on Thursday mentioned Canada had imposed 100 per cent tariffs on non-US metal and aluminium imports and on July 21 would “modify” its 25 per cent counter-tariffs on the 2 metals imported from the US based mostly on talks with Washington. The transfer comes after US President Donald Trump’s “catastrophic” doubling of tariffs on Canadian metal and aluminium earlier this month.
François-Philippe Champagne, Canada’s finance minister, mentioned the quotas have been launched to “stabilise the home market and forestall dangerous commerce diversion as the results of the US actions which are destabilising markets”.
Carney added: “Metal from different nations, from third nations, begins to return into Canada if we don’t defend our business, so we’re setting these quotas.” The anti-dumping measures are in all probability aimed toward China, on which Canada already has a 25 per cent surtax on imports of metal and aluminium.
Ottawa would additionally begin shopping for Canadian metal and aluminium for home infrastructure initiatives, defence spending and the automotive business, the prime minister mentioned.
“Metal and aluminium employees are on the frontline of this commerce disaster, these are the employees who will assist us construct one sturdy Canadian financial system,” Carney mentioned in Ottawa.
On Monday, in the course of the G7 summit in Kananaskis, Alberta, Carney met Trump to debate a brand new financial and safety partnership. “We agreed to pursue negotiations in direction of a deal throughout the coming 30 days,” the prime minister posted on X on Monday afternoon.
Trump on June 4 launched 50 per cent tariffs on imports of metal and aluminium to the US, rising the 25 per cent charge utilized in March.
On the time, Canada’s metal business described the doubling of the tariff as “catastrophic” for a sector that confronted widespread job losses and manufacturing shutdowns.
Canada is the biggest provider of the 2 metals to the US, accounting for practically 1 / 4 of US metal imports in 2023 and about half of aluminium imports final 12 months.
The metal sector is a C$15bn (US$11bn) business that employs 23,000 individuals and helps a further 100,000 oblique jobs, in line with the Canadian Metal Producers Affiliation.
Carney mentioned he was in contact with Trump “ceaselessly on a variety of points” and these newest measures would preserve the metal business afloat whereas Ottawa negotiates a brand new commerce cope with the White Home.
“A 25 per cent tariff is troublesome, however a 50 per cent one is catastrophic,” mentioned Catherine Cobden, president of the CPSA, earlier this month.
