Yesterday, on August 6, the United States of America announced that it will impose tariffs on certain Canadian aluminum products, citing national security concerns. Canadian aluminum does not undermine US national security. Canadian aluminum forms a critical part of the US defence industrial base and plays a vital role in shared defence and security objectives.
Canada is a reliable supplier of aluminum for American value-added manufacturers. Aluminum trade between Canada and the US has long been mutually beneficial economically for both countries, making the North American aluminum industry as a whole more competitive around the world.
“Surrey has many aluminum manufacturing businesses, and this news is devastating,” said Anita Huberman, CEO of the Surrey Board of Trade. “We need the Canadian government to immediately engage with the US Government to resolve this issue. Instead of being caught in these distractions, our governments should be working collaboratively through the G7, G20, OECD and WTO to address the root issue of distortive industrial subsidies. We need cooperation in times of economic uncertainty, not trade hinderances. These tariffs will only exacerbate disruptions to North American supply chains.”
In the time of a global pandemic and an economic crisis, the last thing Canadian and American businesses need is new tariffs that will raise costs for manufacturers and consumers.
Canada’s innovative aluminum industry provides approximately 10,000 well-paying direct jobs in primary aluminum production and supports tens of thousands more in related downstream sectors.
“The Canada-USA-Mexico Agreement (CUSMA) came into force July 1, and this tariff decision runs counter to the principles that agreement brings.”