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14 SEPTEMBER 2020 AL CIRCLE

Canada to roll out multibillion-dollar counter-tariffs on American aluminium products on Sept 16

EDITED BY : DEBANJALI SENGUPTA 2MINS READ

According to a recent report, Canada will roll out its planned multibillion-dollar counter-tariffs on American aluminium products within the next few days. The news came after officials in Ottawa and at the Canadian embassy in Washington confirmed that the previously threatened retaliatory tariffs would go into effect this Wednesday, September 16.

Canada to roll out multibillion-dollar counter-tariffs on American aluminium products on Sept 16

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Following the US President Donald Trump’s announcement of relaying the 10 per cent tariffs on Canada’s aluminium imports early last month, Deputy Prime Ministry Chrystia Freeland declared to hit back with “dollar for dollar” matching tariffs on American aluminium products.

Finance department officials made a list of products that the government was considering hitting with counter-tariffs and asked stakeholders to weigh in. The list included refrigerators, washers and dryers; bicycles and metal office furniture; livestock trailers; sports equipment including baseball bats and golf clubs; aluminium components used in doors, windows and frames; and aluminium beverage cans. Aluminium ores, bars, wire and foil, and aerosol containers were also part of the dozens of items in the list.

“Consultations on the government’s intent to impose countermeasures against the United States’ illegal and unjustified tariffs on Canadian aluminum products ended on Sept. 6,” said Katherine Cuplinkas, press secretary to Freeland.

Canada to roll out multibillion-dollar counter-tariffs on American aluminium products on Sept 16

She added, “We have welcomed more than 750 submissions during this period. Further information will be announced soon.”

Mark Agnew, senior director of international policy with the Canadian Chamber of Commerce, said the feedback received from the organisations was mixed. While some Canadian companies see the counter-tariffs as an opportunity to edge out their US competition given the tariffs would make American products more expensive, many do not want to see their products subject to retaliatory tariffs.

The United Steelworkers union and the Canadian Chamber of Commerce said they looked forward to clear, specific action from the government to support the industry.

Global Aluminium Expo 2020

Ken Neumann, national director of the United Steelworkers union, wanted the federal government to apply retaliatory tariffs beyond aluminium products, arguing that tariffs only on aluminium would hurt the sector.

Freeland, however, said the Canadian approach would be directly proportionate to the US tariffs, meaning countermeasures would be applied only on the United States’ aluminium and aluminium-containing products.

 “We will not escalate and we will not back down,” she said.

 

Note to readers: AlCircle brings two-day event for aluminium industry players. We look forward to meeting you virtually at “Global Aluminium Expo 2020”on October 6-7, 2020. For registration, visit www.alcircleevents.com


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EDITED BY : DEBANJALI SENGUPTA 2MINS READ

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