‘Dollar for dollar, we will not back down’: Retaliation on U.S. tariffs expected this week – by Gabriel Friedman (Financial Post – September 15, 2020)


Deputy Prime Minister Chrystia Freeland is preparing to enact a sweeping set of retaliatory tariffs later this week on U.S. aluminum products, according to several sources familiar with the situation.

U.S. President Donald Trump announced last month that he was re-imposing 10 per cent tariffs on Canadian primary aluminum, effective Aug. 16, saying surging volumes were a threat to national security after having lifted his original tariff in 2019.

Freeland promised to retaliate after a 30-day consultation period, and now, sources inside and outside the government, say Canada plans to impose 10 per cent tariffs on about $3.5 billion worth of U.S. aluminum and aluminum-containing products, effective Wednesday.

The U.S. and Canada share a highly integrated aluminum market with about $14.5 billion in combined trade between the two countries.

While about 76 per cent of Canada’s aluminum is exported to the U.S. market — far more than it imports from the U.S. — the Canadian government has released a list of potential U.S. goods that could be subject to countermeasure tariffs including everything from primary aluminum to consumer goods such as refrigerators, nails, bicycles and golf clubs.

For the rest of this article: https://financialpost.com/news/economy/dollar-for-dollar-we-will-not-back-down-retaliation-on-u-s-tariffs-expected-this-week?video_autoplay=true

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