Higher Canadian tariffs on U.S. made products could be coming soon if the Trump administration refuses to end the additional tariffs on Canadian made steel (25%) and aluminum (10%), introduced last June.
Prime Minister Justin Trudeau and Foreign Affairs Minister Chrystia Freeland say the U.S. tariffs should be removed because they are both “illegal” and “unjust”. U.S. President Donald Trump says the tariffs are necessary to correct a trade imbalance between Canada and the U.S.. When Canada first retaliated, the government described the counter-measures as “dollar-for-dollar” when compared with the U.S. tariffs, but sources say the dollar value actually falls significantly short of that threshold.
Even bigger problems could be ahead if the impasse on tariffs causes law makers on both sides of the border to vote against approval of the NAFTA update, a necessary step to implement the new trade agreement.
For more information, please call Brian Rowe, Director – Customs Compliance & Regulatory Affairs at (905) 882-4880, ext. 213.