As per the latest updates, Canada, on the request from its construction industry especially in British Columbia province is set to exempt some imported steel and aluminum products from new imports quotas and tariffs announced in the month of October this year.
The Canadian government also said that it would give additional relief to some companies that have contractual obligations. In Canada, automakers frequently buy U.S. steel under contract, import and distribute it to their Canadian suppliers as well as their own plants. However, it is not immediately clear which companies would be benefited from this exemption. Along with this, relief will also be given to steel product imports that were in transit before 25 Oct’18.
The Canadian government had imposed 25% tariffs on steel imports starting Oct. 25 in a bid to protect its domestic industries from the impact of the tariffs imposed by the Trump administration in March this year.
The tariffs are applied to seven products including heavy plate, concrete reinforcing bars, energy tubular products, hot-rolled sheet steel, pre-painted steel, stainless steel wire, and wire rods. The tariffs are imposed “in cases where the level of imports from trading partners exceeds historical norms.” Canada initially launched the process to create the tariffs in August.
Although the list of products that will be exempted from tariffs has not been disclosed yet, chances are high that tariffs on rebar imports will be given a waiver as in November, British Columbia construction industry leaders had asked the government to exempt rebar, steel bars used to reinforce concrete, from new steel quotas and tariffs announced in October.
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