Canadian steelmakers are in favor of strengthening protective measures against steel imports

Steelmakers in Canada have called on the authorities to take more active steps following the US announcement of tariff increases on certain Chinese steel and aluminum products. This is stated in a statement by the Canadian Steel Producers Association (CSPA).

According to the CSPA, the United States’ actions are aimed at China’s excess steel capacity, protecting the American steel sector and supply chains.

«As our trading partners reinforce their trade remedy system with additional measures coupled with new tariffs and stronger laws, it is imperative that Canada keep pace and put in place new tools to defend against the rise in unfairly traded steel imports from China and elsewhere,» said President and CEO of the Canadian Steel Producers Association, Catherine Cobden.

According to her, Canada continues to face unprecedented levels of steel imports, with offshore imports doubling over the past 10 years. Although the industry is the largest beneficiary of Canada’s trade defense system, imports continue to flood the country despite the anti-dumping measures in place, jeopardizing local jobs and investment.

According to the CSPA, the country has now imposed 52 trade measures on Indo-Pacific countries related to the steel industry, 18 of which are directly targeting China, with more to come. Despite this, China is one of the three largest steel importing countries to Canada, with a volume of 660 thousand tons in 2023.

«To address this, CSPA urges the Government of Canada to immediately consider a comparable tariff approach and evolve our trade tools – such as retroactive assessments on unfairly traded imports, the use of alternative trade remedy tools such as the Particular Market Situation methodology and adopting enhanced anti-circumvention protections- to further align with the United States,» Cobden concluded.

On May 14, U.S. President Joe Biden instructed the U.S. Trade Representative to increase tariffs under Section 301 of the Trade Act of 1974 on $18 billion worth of imports from China. This step includes an increase in the tariff rate on certain steel and aluminum products of Chinese origin from 0.0-7.5% to 25% in 2024. The decision was welcomed by the American Iron and Steel Institute (AISI).