Canadian Steel Leader Calls for Strategic Response to U.S. Tariffs

The Canadian steel industry is seeking a strategic response to escalating tariffs imposed by the United States. Keanin Loomis, president and CEO of the Canadian Institute of Steel Construction, emphasized the urgency of developing a comprehensive plan to mitigate the adverse effects of U.S. trade actions on Canadian steel and aluminum sectors.

In March 2023, the U.S. enacted a 25 percent tariff on imported Canadian steel and aluminum, prompting Canada to impose a similar 25 percent retaliatory tariff. This situation intensified in June when the U.S. doubled its tariffs on Canadian steel and aluminum to 50 percent. Canada also maintains a 25 percent tariff on steel and aluminum from China, indicating a complex trade landscape.

Recently, the Canadian federal government announced exemptions for certain steel and aluminum products from both China and the U.S. from Canadian tariffs. Loomis expressed concern about the potential for job losses within the industry, highlighting the importance of retaliation against U.S. tariffs. He stated, “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 further articulated the need for a focus on domestic procurement, stressing that taxpayer dollars spent on infrastructure projects should prioritize Canadian fabricators and steel. This approach, he argues, is essential while maintaining access to the U.S. market. He conveyed this sentiment in an interview with CTV News Channel, underscoring the necessity of supporting local industries amidst ongoing trade tensions.

In May 2023, Industry Minister Mélanie Joly reinforced Canada’s position against the U.S. tariffs, asserting in a post on X that the government is committed to fighting for Canadian steel and aluminum workers. “Our steel and aluminum workers and businesses deserve no less than our full commitment,” she stated.

The impact of U.S. tariffs is already being felt across the Canadian steel industry. Loomis noted that while many steel producers have been hesitant to lay off workers, the ongoing tariffs could threaten the sustainability of operations in the short to mid-term. “This might be the thing that puts us over the edge and calls into question the short to mid-term sustainability of our operations,” he added.

Amid these challenges, Loomis continues to engage with his U.S. counterparts, emphasizing that significant change must originate from within the United States. He acknowledged that many American industry leaders do not support the tariffs, stating, “Everybody in the U.S. knows that tariffs are attacks, and really only a couple of entities, these are steel producers in the U.S. who have outsized influence with the Trump administration, are going to be benefitting from this, at the expense of the rest of the U.S. and Canadian economy.”

Loomis concluded by expressing hope that Canadians can help impart awareness to their American counterparts about the broader economic repercussions of these tariffs. “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.”

As the situation evolves, the Canadian steel industry’s call for a robust strategic response to U.S. tariffs highlights the complexities of international trade and the critical need for cohesive domestic policies.