The federal government has announced additional measures to protect Canada's steel and aluminum workers and industries.
The Department of Finance announced six new protection measures as the feds negotiate a new economic and security partnership with the United States, according to a news release Thursday (June 19).
The first of the six new measures is that Canada plans to adjust its existing counter-tariffs on steel and aluminum products on July 21 "to levels consistent with progress that has been made in the broader trading arrangement with the United States."
However, before that, the federal government, on June 30, will begin implementing policies to limit access to federal procurements to suppliers from Canada and "reliable trading partners that provide reciprocal access to suppliers from Canada through trade agreements."
The third measure includes establishing a new tariff rate quota of 100 per cent of 2024 levels on imports of steel products from non-free trade agreement partners to "stabilize the domestic market and prevent harmful trade diversion as the result of the U.S. actions that are destabilizing markets." The government said these quotas will be applied retroactively and will be reviewed in 30 days.
The federal government also plans to adopt additional tariff measures over the coming weeks "to address risks associated with persistent global overcapacity and unfair trade in the steel and aluminum sectors, which are exacerbated by U.S. actions."
Two new government-stakeholder task forces 鈥� one for steel and one for aluminum 鈥� will be "immediately" created. The federal government says these task forces will "meet regularly to monitor trade and market trends to support government decision making."
The final measure is a $10-billion Large Enterprise Tariff Loan program that is open to applicants. The program is meant to support eligible large businesses that are facing difficulties in accessing traditional sources of market financing by providing access to liquidity. The federal government says it will help employers that were viable before the recent U.S. trade actions to sustain their operations and get back on track as the market stabilizes.
Prime Minister Mark Carney has promised to make Canada the strongest economy in the G7. These latest measures come just after the annual G7 Summit came to an end in Kananaskis, Alta. on June 17.
"We will take the time we need to negotiate the best deal for Canada, but no longer," he said. "In parallel, we are ensuring that workers and industries are protected from the unjust U.S. tariffs."
On March 12, 2025, the United States imposed 25-per-cent tariffs on Canadian steel and aluminum products.
The following day, Canada imposed 25-per-cent reciprocal tariffs on a list of products totalling $29.8 billion. That included $12.6 billion on steel products, $3 billion on aluminum products and $14.2 billion in additional imported U.S. goods.
At the time, then-finance minister Dominic Leblanc said the U.S. administration was needlessly disrupting an incredibly successful trading partnership.
"It is a completely unwarranted and unjustified move that will raise costs for Americans and Canadians alike.
