Trudeau Urges Trump to Reconsider Tariffs on Canadian Aluminum

Strategic Insights -

Prime Minister Justin Trudeau has spoken with US President Donald Trump, urging him to think twice before imposing new tariffs on Canadian aluminum. Trudeau stressed that the aluminum sector is emerging from the pandemic-induced production posture that prompted the White House's consideration of such measures in the first place. He emphasized that Canada's aluminum smelters will soon be back producing value-added specialty products for the US auto sector as the North American economy gets back up to speed.

Key Takeaways:

  • Canada's aluminum sector is recovering from the pandemic-induced production posture, with smelters set to produce value-added specialty products for the US auto sector.
  • Trudeau has urged Trump to reconsider imposing new tariffs on Canadian aluminum, citing the potential harm to the two countries' strong business relationship.
  • The US trade representative has reportedly given Canada a deadline of July 1 to impose export restrictions, which has come and gone without a clear indication of what will happen next.
  • The 30-day bilateral agreement to limit discretionary cross-border travel has been extended three times and is now set to expire July 21, amidst a surge in COVID-19 cases in the US.
  • Canadian public opinion remains firmly opposed to reopening the border, with recent polls showing a strong desire for caution due to the escalating crisis in the US.
  • Experts, border community leaders, and northern state lawmakers are calling for a plan to lift the border restrictions when the time is right, to do so responsibly.
  • Trudeau and Trump discussed the Canada-US border and the ongoing COVID-19 pandemic, with no clear indication of what the next steps will be.

Statistics:

  • Over 100,000 new COVID-19 cases were identified in the US over the weekend, particularly in southern states that reopened early.
  • Florida has emerged as the new epicentre of the COVID-19 pandemic, with hospitals in major urban centres across the US nearing capacity.
  • The public health crisis in the US has led to a critical shortage of personal protective equipment for healthcare workers.
  • The 30-day bilateral agreement to limit discretionary cross-border travel has been extended three times, with the current extension set to expire July 21.

Sources:

  • "Trudeau urges Trump to reconsider US tariffs on Canadian aluminum" by The Globe and Mail (no date provided)
  • "Readout of the Prime Minister's call with the US President" (no date provided)
  • "Canada faces June 30 deadline to comply with Trump demand" by The Globe and Mail (June 29, 2020)