Ottawa – Treasury Board President Jean-Yves Duclos stated Tuesday that federal officials would actively resist any new protectionist measures by the United States, specifically concerning tariffs on steel and aluminum, emphasizing that Canadian aluminum posed no threat to the American market. This stance comes amidst reports suggesting a potential new round of tariffs from the Trump administration.
The move follows a Bloomberg report indicating the U.S. administration’s intention to impose a 10% tariff on aluminum imports originating from Canada. Treasury Board President Duclos’s response underscores a continued vigilance against protectionist tendencies, a concern that has been amplified by the economic challenges presented by the COVID-19 pandemic. The government recognizes that the threat of such measures is heightened by the current global economic climate.
“We are aware of the protectionist attitudes and actions of the last few years in the context of our relationship with the United States,” Duclos asserted during a midday briefing on Tuesday. He highlighted the significant efforts made to secure a new North American free trade agreement, ultimately dismantling the previous round of tariffs targeting Canadian aluminum and steel imports. However, he stressed the necessity to remain proactive in combating any re-emergence of protectionist policies. “We need, as Canadians, to be mindful of the fact that protectionism still exists and in fact runs the risk of being even bigger and being an even greater threat as we emerge from the COVID health and economic crisis,” Duclos continued.
The Canadian government has historically emphasized the mutual benefits of open trade, advocating for the continuation of the flow of goods and services between the two nations. The government views maintaining this international trade network as essential for both economies. “This being said, we use every opportunity to make our neighbors and our friends and trade partners understand that it is to the joint benefit of everyone to keep the flow of goods and services open and strong, because we all gain from that,” Duclos explained, signaling a commitment to a collaborative approach in addressing trade-related concerns.
To reinforce this message, Canada’s ambassador to the United States, Kirsten Hillman, issued a similar declaration on Tuesday during a virtual event. “We firmly believe that Canadian aluminum exports to the U.S. aren’t hurting the U.S. market in any way,” she commented, adding that ongoing dialogues between the two countries were critical in navigating the issue. “We’re emphasizing with our American friends the fact that we have this deep, mutually supportive industry and that far from being harmful to the American aluminum sector, our aluminum exports are indeed a great help and benefit,” she stated.
Historically, Canada has demonstrated a willingness to mitigate potential trade disputes, as evidenced by the successful conclusion of the new trade agreement. The government believes it has sufficiently fulfilled its end of the detente by ensuring that Canada is no longer a conduit for cheaper overseas metal destined for the U.S. market. The government’s stance aligns with a long-standing strategy of fostering strong trade relationships based on mutual support and benefit. Furthermore, the Canadian government is prepared to respond, as it did previously, to any renewed protectionist measures imposed by the U.S. The consistent message is clear: Canadian aluminum exports are a positive contributor to the American economy.