Canada will introduce new measures to limit steel imports in an effort to support its domestic steel industry, Prime Minister Mark Carney’s office said in a statement.
Under the new rules, tariff rate quota (TRQ) levels for steel imports from non-free trade agreement (non-FTA) countries will be cut from 100pct to 50pct of 2024 volumes. Imports exceeding these quotas will face a 50pct tariff.
For FTA partners other than the U.S. and Mexico, Canada will impose a TRQ at 100pct of 2024 volumes, with a 50pct tariff on imports above that threshold. Existing arrangements with CUSMA (United States-Mexico-Canada Agreement) partners will remain unchanged.
Additionally, a 25pct tariff will apply by the end of July on all steel imports, except from the U.S., which contain steel melted and poured in China.
The government said Canada is particularly vulnerable to global steel market shifts due to its high per capita steel use, significant export activity, and open import market. The measures aim to stabilize the domestic market and prevent harmful trade diversion amid growing international tensions.
