Canadian Steel Leader Calls for Strategy to Tackle U.S. Tariffs

A prominent figure in the Canadian steel industry has emphasized the urgent need for a strategic response to the impact of U.S. tariffs on Canadian steel and aluminum. Keanin Loomis, president and CEO of the Canadian Institute of Steel Construction, articulated concerns over the escalating trade tensions, which began when the U.S. imposed a 25 percent tariff on Canadian steel and aluminum in March 2023. This was followed by Canada implementing a similar retaliatory tariff. In June 2023, the U.S. doubled its tariffs to 50 percent, further complicating the situation for Canadian producers.

The Canadian government has since announced exemptions for certain steel and aluminum imports from both the U.S. and China, a move that Loomis believes could have mixed effects on the domestic industry. He expressed that the anxiety surrounding potential job losses is palpable and emphasized the need for a coordinated approach to mitigate these impacts. “We do have to stay strong and certainly exact as much pain as we can from the United States on this, but certainly we need a plan,” Loomis stated during an interview with CTV News Channel.

Loomis highlighted the critical importance of prioritizing domestic procurement as Canada navigates these tariffs while trying to maintain access to U.S. markets. He insisted that infrastructure projects funded by taxpayer dollars should utilize Canadian fabricators and steel to the fullest extent possible. This strategy, he argues, will not only bolster the Canadian steel industry but also help safeguard jobs.

In a statement on social media platform X, Industry Minister Mélanie Joly affirmed the Canadian government’s commitment to fighting the tariffs with retaliatory measures, stating: “Our steel and aluminum workers and businesses deserve no less than our full commitment.”

The ongoing tariffs have already begun to impact the Canadian steel industry significantly. Loomis noted that while many steel producers have been reluctant to lay off workers so far, the sustained pressure from the tariffs might jeopardize the short- to mid-term sustainability of their operations. “I know that many of the steel producers in Canada have been really adamant to not lay off parts of their workforce, and thus far, we haven’t seen a lot,” he remarked. “But this might be the thing that puts us over the edge.”

Loomis continues to engage with his U.S. counterparts regarding the tariffs, emphasizing the need for a change in perspective among American producers. He pointed out that many U.S. steel producers do not support the tariffs, which he described as detrimental not only to Canadian interests but to the broader U.S. economy as well. “The change is going to come from the inside. It’s hard for us as Canada to exert the type of pressure that we need, but we can help Americans wake up to the fact that this is punishing them as much as it is us,” Loomis concluded.

As the situation develops, the Canadian steel industry remains vigilant, advocating for a clear plan that prioritizes local procurement and aims to alleviate the pressure from U.S. trade actions. The ongoing dialogue between Canadian and U.S. steel producers may play a crucial role in shaping the future of this critical sector.