Canadian Prime Minister Mark Carney announced that he would protect the domestic steel and aluminum industries from US measures with new counter-tariffs and protectionist policies.
At a press conference, reported by Canadian media, Carney pointed out that he and US President Donald Trump had agreed to stick to the trade agreement on the elimination of tariffs for the next 30 days.
"But at the same time, we must strengthen and protect Canadian workers and businesses from unfair U.S. tariffs," Carney said.
Trump imposed a 25 percent tariff on all steel and aluminum imports in March and increased it to 50 percent this month.
Canada responded in March with a 25 percent counter-tariff on American steel and aluminum products.
Carney said that on July 21, when a 30-day negotiation period ends, those counter-tariffs will be adjusted "to levels consistent with progress made on a broader trade agreement with the United States."
Ottawa is also introducing rules on June 30 that will limit federal purchases of domestic steel and aluminum and from "trusted trading partners."
Canada will establish new tariff rate quotas of 100 percent at the level they were in 2024 on imports of steel products from free trade agreement partners, the government says.
Karni said the new tariffs would be introduced in the coming weeks to protect Canadian industry from unfair trade practices and overcapacity.
Carney also announced the creation of two separate working groups for steel and aluminum that will monitor the situation and advise the Government.
The heads of the Canadian Steel Association and the United Steelworkers visited Parliament today to call on the Federal Government to take urgent action.
Industry Minister Melanie Joly said the U.S. tariffs have put Canada's steel and aluminum industries in a state of emergency.
"We know that Canadian workers in the steel and aluminum industries are very concerned and want us to come to a solution very, very quickly," she said.
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