Sign in Subscribe
Tariffs

Canada to Crack Down on Cheap Foreign Steel Imports by End of Month

Strategic Insights

— 1 min read

Canadian Prime Minister Mark Carney announced plans to further restrict the importation of cheap foreign steel into Canada by the end of the month, citing the ongoing impact of US President Donald Trump's tariffs on the domestic industry. As part of the new measures, the government will limit steel imports from countries without free trade agreements to half of 2024 volumes, and impose a 50% tariff on imports beyond those levels. Steel products from non-free trade agreement partners, including China and Turkey, will be subject to these restrictions. Carney also announced additional tariffs of 25% on imports from all non-US countries containing steel melted and poured in China.

Key Takeaways:

  • The Canadian government will limit steel imports from countries without free trade agreements to half of 2024 volumes.
  • A 50% tariff will be imposed on imports beyond those levels from non-free trade agreement partners, including China and Turkey.
  • Steel products from non-free trade agreement partners will see their tariff rate quota tighten to half of 2024 volumes.
  • A 50% tariff will apply to imports surpassing 2024 volumes from partners who have free trade agreements with Canada, other than the US and Mexico.
  • Additional tariffs of 25% will be imposed on imports from all non-US countries containing steel melted and poured in China.
  • Existing arrangements with the Canada-US-Mexico Agreement (CUSMA) will remain unchanged.
  • Canadian steelmakers have long alleged that foreign companies are supplying steel to the Canadian market at ultra-low prices, a practice commonly known as dumping.
  • Imports supply almost two-thirds of current Canadian consumption of steel, compared to less than one-third for the United States and less than one-sixth for the European Union.

Statistics:

  • Two-thirds of total steel consumption in Canada comes from abroad, compared with one-third for the U.S. and one-sixth in Europe.
  • Imports supply almost two-thirds of current Canadian consumption of steel.
  • Less than one-third of steel consumption in the United States comes from imports.
  • Less than one-sixth of steel consumption in Europe comes from imports.
  • 2024 import volumes will serve as the basis for the new tariff rates and quotas.

Sources:

  • Kuwait News Agency (17 Jul 2025)

Read more