Canadian steelmakers consider government’s proposed protective measures insufficient

Representatives of the Canadian steel industry told government officials that the proposed measures to protect the industry from the effects of US tariffs are insufficient. This was reported by Reuters, citing sources who attended the relevant meeting at the end of last week.

Steel producers met with Patrick Haley, assistant deputy minister of trade and finance, and other officials from the department. They stressed that the measures announced in early June do not protect the country’s metallurgical industry from steel dumping and could lead to mass layoffs.

Canada recently announced a series of measures, including the establishment of new tariff quotas of 100% of the 2024 level on imports of steel products from countries that are not partners in a free trade agreement.

At the meeting, industry representatives asked the government to extend the tariff quotas to all countries with unfair trade practices, even if they have free trade agreements. Europe and Asia have begun redirecting their products to Canada to avoid US tariffs, making Canadian steel uncompetitive.

As previously reported, on July 21, Canada will adjust its existing countervailing duties on US steel and aluminum products to a level consistent with the progress made in the broader trade agreement with the United States. In addition, the country has announced certain measures to strengthen the protection of its national metallurgical industry.

On June 29, Canada announced the cancellation of a tax aimed at American technology companies in order to promote trade negotiations with the United States. Earlier, on June 27, Donald Trump said that after the introduction of this measure, the US would suspend trade negotiations with Ottawa.

According to a statement from the Canadian government, in line with these actions, the Prime Minister of Canada and the President of the United States agreed that the parties would resume negotiations with the aim of reaching an agreement by July 21.