Canada Publishes Final Retaliatory Tariff List Against The United States

When the buffer period before the launch of the counterattack measures against the US steel and aluminum tariffs expired, the Canadian government, which did not wait for the turning point of the situation, announced the official list of retaliatory taxes on the US, as well as the support measures for the domestic steel and aluminum industry.

On June 29 local time, Canadian Foreign Minister Chrystia Freeland, together with a number of ministers related to economy and trade, announced to the media in the Hamilton Steel Industrial Zone near Toronto that from July 1, retaliatory tariffs would be imposed on US products with a total value of C $16.6 billion (about US $12.6 billion at the exchange rate of that day), including steel and aluminum.

Freeland said that Canada "will not intensify the trade war, but will not yield". She said that the US tariff policy leaves Canada with no choice. The only way to truly resolve this "unfortunate and unprecedented" dispute is for the United States to revoke its steel and aluminum tariffs.

The Canadian federal government described this as a "direct, prudent and reciprocal" response to the US steel and aluminum tariffs.

Canada's official data shows that the United States has an annual surplus of $2 billion in steel product trade with Canada. 50% of American steel exports are sold to Canada. Canadian steel and aluminum are used to make American tanks and aircraft. Canada said that Canada's steel and aluminum industry Make the steel and aluminum industry in North America more competitive worldwide. The United States regards trade with Canada as a threat to its national security, which is "unbelievable and totally unacceptable".

On March 8, the United States announced that, based on the results of the "232 Survey", it would impose an additional tariff of 25% on imported steel and 10% on imported aluminum products, but temporarily exempt some economies. On May 31, President Trump of the United States decided to end the exemption period and levy tariffs on imported steel and aluminum from Canada, Mexico and the European Union from June 1. Canada immediately announced the plan of reciprocal retaliatory taxation and solicited opinions from the public.

This time, Canada decided to impose retaliatory tariffs on the United States as scheduled. The official list was slightly increased or decreased, but the total value remained unchanged. In addition to steel and aluminum products, the list also includes American whisky, lawn mower, coffee, ketchup, maple syrup, washing machine, freezer and pillow. Canada has a short and long holiday after Friday. This tax list will come into effect on July 1, Canada's National Day.

At the same time, the Canadian federal government announced the allocation of 2 billion Canadian dollars to support the steel and aluminum industry and manufacturing industry. It includes a series of measures, such as increasing workers' security, promoting workers' employment and training plans, and increasing the number of domestic workers market To develop, improve the steel and aluminum supply chain, and assist Canadian enterprises to diversify their export channels.

Canada's official data shows that in 2017, Canada's steel industry and aluminum industry provided about 23000 and 10500 jobs for Canadians respectively.

At the same time, Canadian officials said that they would continue to work for the comprehensive and permanent elimination of the "unreasonable and illegal" tariffs of the United States. Freeland reiterated that he expected "dramatic moments in the future".