Canadian PM moves to put tighter check on steel imports

Quota measures against countries with which Canada has no FTA were announced last month.

On Wednesday, Carney said Canada will tighten the TRQ levels for steel products from non-FTA countries from 100% to 50% of 2024 volumes. And above those levels, a 50% tariff will apply.

Additionally, he said for non-US partners with which the country has an FTA, Canada will begin a TRQ for steel products at 100% of 2024 volumes and put a 50% tariff on steel imports beyond those levels.

For USMCA partners, provisions will remain the same, including trade measures with the US.

Regarding China, there will be a 25% tariff before the end of July on steel imports from all non-US countries that have steel melted and poured in China.

The government is still eyeing measures to favor steel and aluminum fabricated in Canada.

Bilateral negotiations with the US are still ongoing, the prime minister said.

“As Canada moves from reliance to resilience, Canada’s new government is taking a series of major measures to support, reinforce, and transform the industry to be more resilient in the face of profound shifts in global trade and supply chains,” Carney said in a statement.

CSPA cheers

Catherine Cobden, president and CEO of the Canadian Steel Producers Association (CSPA), applauded the prime minister’s actions. She labeled them “steps in the right direction.”

“We are grateful that the government has acted swiftly and taken this first response to improve these measures to support our industry in Canada and strengthen our domestic market,” she said in a statement on Wednesday.

Beyond the TRQs, she also praised the government’s actions regarding China and its prioritization of Canadian steel in federal projects.