Canada’s Aluminium Industry Criticizes New U.S. Tariffs

The Aluminium Association of Canada has expressed strong opposition to the 25% tariffs announced by the U.S. administration, calling them disruptive and damaging to both Canadian and American economies. Jean Simard, President and CEO of the association, stated, "We are disappointed, but we were expecting this and are ready for it." He emphasized that the tariffs will lead to increased aluminum prices, negatively affecting American workers and consumers.

Canada’s aluminum sector employs 9,500 workers who produce metal used by over 500,000 American manufacturing workers in various industries. This cross-border collaboration generates more than $200 billion in economic output for the U.S. economy. The association argues that the integrated nature of North American economies benefits workers, consumers, and communities on both sides of the border.

Simard highlighted that the Canadian aluminum industry, alongside government and union partners, will work to protect the domestic aluminum ecosystem, which has been contributing to North America's defense and economic security for over a century. The industry will also engage with U.S. stakeholders, including customers, businesses, and elected officials, to emphasize the mutual benefits of Canadian aluminum.

The association pointed to unfair Chinese trade practices, such as massive state subsidies, as a primary issue affecting the global aluminum market. These practices have led to smelter closures and increased competition challenges for responsibly produced North American aluminum. Simard stressed that Canada will not be a transshipment risk for unfair trade practices and will continue to align with U.S. trade measures, including the recent 25% surtax on Chinese aluminum imports.

The Aluminium Association of Canada maintains that Canadian aluminum should remain exempt from tariffs due to its strategic role in North America’s industrial value chain. With the U.S. producing only one million metric tons of primary aluminum annually while consuming six times that amount, the association argues that tariffs will only increase costs for U.S. businesses and consumers, undermining efforts to reduce inflation.