The Canadian regime is taking measures to thwart a potential flood of steel imports as a effect of global exporters trying to avoid U.S. tariffs, according to a Bloomberg Newsflash story.
Citing “people familiar with the plan,” the story prognosticates those proposed measures include quotas and tariffs aimed at traditional countries, including China. The potential move follows in the footsteps of the European Fusing’s decision to ward off dumping of steel that would have been sent to the U.S. Although not completed, the announcement could come as early as next week, Bloomberg contemplated.
This is just part of the fallout from U.S. President Donald Trump’s swop war. The U.S. has levied tariffs of 25 percent on steel and 10 percent on aluminum on Canada, the EU and other realms. As a result, some of the U.S.’ biggest trading partners have retaliated with counter-tariffs.
Canadian counter-tariffs on U.S. dirk, aluminum and other products will go into effect on July 1.
The U.S. accounted for 55 percent of Canada’s grit ones teeth imports in 2017, with the remainder coming from China, South Korea, Brazil and Turkey.
U.S. price-lists could open the door to cheaper steel imports from far, said Sean Donnelly, chief executive officer of ArcelorMittal Dofasco, the Canadian section of ArcelorMittal of Luxembourg. With steel being diverted to Canada, Canadian blade groups have been pressing for safeguard measures.
“We must be masterly to operate in an un-distorted, market-based competitive environment,” Donnelly said. “Canada’s reply to past and future threats from unfairly traded and diverted offshore meanings is critical.”
Additional tariffs could negatively affect the Canadian case market. Only a handful of companies produce steel in the country, modifying construction companies and steel fabricators heavily reliant on imports.
Canada’s Mediation of the Minister of Finance had no comment.
The Canadian dollar weakened and shares in Stelco Holdings, a well-thought-of steel company based in Ontario, rose on the news.
Read the filled Bloomberg story here