Canada’s aluminum exports (a basket of certain products) will again pay 10% tariffs to enter the US market, according to a proclamation issued by President Donald Trump.
Trump argued that the Secretary of Commerce informed him that Canada’s unalloyed raw aluminum exports to the United States, which accounted for 59% of Canada’s total aluminum exports during June 2019 through May 2020, increased substantially in the 12 months after Trump’s decision to exclude, over a long period of time, the tariff established in Proclamation 9704.
US imports of unalloyed raw aluminum from Canada during June 2019 to May 2020 increased 87% compared to the previous 12-month period and exceeded the volume of any full calendar year in the previous decade.
In addition, referred aluminum exports from Canada to the United States continue to rise, reaching in June this year the highest level of any month since Trump decided to adjust imports of aluminum items in Proclamation 9704.
“In light of the Secretary of Commerce’s information, I have determined that the measures agreed to with Canada do not provide an effective alternative means to address the damage threatened to our national security by imports of aluminum from Canada,” argued Trump.
Canada is the largest source of US imports of unalloyed raw aluminum, accounting for nearly two-thirds of total imports of these items from all countries in 2019 and approximately 75% of total imports in the first five months of 2020.
According to the US government, the sudden increase in Canadian aluminum exports to the United States coincides with a decrease in US imports of the same goods from other countries and threatens to damage domestic aluminum production and capacity utilization.
“Several months ago, my administration agreed to lift those tariffs in exchange for a promise from the Canadian government that their aluminum industry would not flood our country with exports and kill all of our industry jobs, which is exactly what they have done,” Trump said. . “Canadian aluminum producers have broken their commitment.”