OTTAWA – US President Donald Trump on March 12 introduced 25 percent tariffs on all imports of steel and aluminum, and doubled the Levi to 50 percent in early June.
The Canadian government has responded to several measures.
Initial response
The next day after the American tariff came into effect, Canada retaliated 25 percent of tariffs on American goods.
The government said Levi covered imports of $ 29.8 billion in total, including steel and aluminum worth $ 15.6 billion.
Tariffs also cover many other items including gold, jewelry, platinum, scrap metal and waste, ceramic, iron products, umbrellas and candles.
There are more than 530 products in the list from screw and sewing needles to pipes and railway tracks, stoves and barbecue and, yes, even kitchen sinks.
New security
On June 19, the government announced the protectionist policies, including new federal procurement rules that limit access to Canadian suppliers and reliable trading partners, and pledged to adopt measures to address overcapasity and inappropriate trade practices in steel and aluminum fields.
Prime Minister Mark Carney also said that Canada would accommodate steel and aluminum counter-tariffs on July 21, depending on how the business talks with Trump were going on.
Later that month, the tariff rate quota was determined on steel mill products, which was imported from countries imported from Canada.
If imports are higher than 2024 levels, 50 percent will be kicked in tariffs. The government said that this measure was to address the risk that steel that was intended to the US market is redirected in Canada.
Additional measures
The tariff rate quota will be expanded to countries that Canada has a free-trade deal with the US and Mexico, leaving the US and Mexico on 1 August.
Any import above the level of 2024 will be subject to 50 percent of certains if there is a trade deal.
Steel from countries that do not make any trade deal with Canada will be subject to tariffs after importing more than 50 percent of 2024 levels.
Steel imports that melted and inserted into China will also be subject to 25 percent of the levy, until they import from the US
Canada has targeted 25 percent on Chinese steel and aluminum products since last October.
Trade-specific relief
Businesses can apply for tariff exemption or refunds under certain circumstances, for example, if they are importing goods that are exported to produce goods for exports or produce goods for exports within four years.
The Finance Department says that there is also an extraordinary relief program in cases where imported goods are outside the US or where there are “extraordinary conditions, which can severely adversely affect the Canadian economy,” the Finance Department says.
The loan program of $ 10 billion for large companies aim to help businesses lacking liquidity. Initially the program was to apply for at least $ 60 million in loans for companies of more than $ 300 million in Canadian revenue, but on Wednesday the government revised the criteria in revenue $ 150 million in revenue and $ 30 million in minimum loan amount.
The government has announced a temporary change in the employment insurance program to allow applicants to waive a week’s waiting period and reduce businesses to reduce their hours without laying of workers.
This report of Canadian Press was first published on 16 July 2025.
Canadian press staff, Canadian press
