On August 7, 2020, Canada’s Deputy Prime Minister Chrystia Freeland announced that Canada will be imposing retaliatory tariffs on $2.7 billion worth of U.S. imports in response to President Trump’s decision to re-implement a 10% ad valorem tariff on non-alloyed unwrought aluminum from Canada (HTS subheading 7601.10). During a news conference Freeland stated, “We will impose dollar-for-dollar countermeasures in a balanced and perfectly reciprocal retaliation.” These decisions come after the two countries, along with Mexico, recently implemented the USMCA to further facilitate trade.
Following the announcement, the Canadian Department of Finance issued a notice containing a list of over sixty aluminum goods subject to a 10% rate that will take effect on September 16, 2020. According to the notice, interested parties (Canadian companies or Canadian industry associations) should provide written comments by September 6, 2020 to email@example.com.
We will continue to monitor this situation and provide any updates as more information becomes available. Husch Blackwell encourages those who may have questions or concerns on this issue to please contact the International Trade and Supply Chain team.