Hamilton: Canada will soon implement stricter measures to limit steel imports from all trading partners except the United States and Mexico. This decision comes as the domestic steel industry faces challenges due to tariffs imposed by US President Donald Trump. Canadian Prime Minister Mark Carney announced the new measures in Hamilton, signaling relief for an industry that has experienced layoffs and reduced production following the US's steep import taxes. According to Kuwait News Agency, the Canadian government had previously modified its tariff quota system in June, which allowed a certain quota of steel to enter Canada at a lower tariff rate. However, these changes were criticized for being insufficient by the domestic steel industry. Canadian steelmakers have long accused foreign companies of "dumping," or selling steel at extremely low prices, thus undermining local competition. To address these concerns, Carney announced that the existing quota system would be further tightened. Steel from non-free t rade agreement partners, such as China and Turkey, will have their import quotas reduced to half of 2024 levels. Moreover, a 50 percent tariff will be imposed on any imports exceeding these revised quotas. The government is also planning similar restrictions for countries with free trade agreements with Canada, excluding the US and Mexico. The federal government has confirmed that a 50 percent tariff will apply to imports that surpass the 2024 volumes. Additionally, Canada will implement a 25 percent tariff on all imports from non-US countries that contain steel melted and poured in China. Carney highlighted the significant reliance of the Canadian economy on foreign steel, which accounts for nearly two-thirds of the country's steel consumption. This is in stark contrast to the United States, where imports make up less than one-third, and the European Union, where they account for less than one-sixth. Existing trade agreements under the Canada-US-Mexico Agreement (CUSMA) will remain unchanged, and there wi ll be no adjustments to US counter-tariffs as Canada and the US approach their August 1 deadline for negotiations. The prime minister emphasized that the new measures are necessary to reduce reliance on foreign steel and bolster the domestic industry. He also mentioned plans to invest in Canadian workers and production to meet the growing demands of the construction and manufacturing sectors. Carney shared on his X account that Canada is poised to transform its steel industry, stating, "It's time to build Canada strong - with Canadian workers and Canadian steel."
