Global Daily Tax News, Canada Announces Steel Duties To Prevent Dumping, (Jul 3, 2025)

The Canadian Government has announced new tariff rate quotas (TRQs) for steel mill products imported into Canada from countries lacking a free trade agreement.

The intention is to ensure that steel imports from non-FTA partners that exceed 2024 levels face a 50 percent surtax. A TRQ limit of 2.6 million tonnes has been established and will apply with effect from June 27, 2025. The measure will be reviewed after 30 days, the Government said.

The Government said: "This temporary trade measure will help stabilize the Canadian steel market by addressing the risk that steel originally destined for the United States is redirected to Canada. The combination of tariffs imposed by the US on all steel imports and global overcapacity, caused by non-market practices, has led many exporters to seek new markets. This measure helps manage that pressure without disrupting supply for Canadian users."

"This measure builds on Canada's broader strategy to defend its workers and industries against unfair trade, including non-market policies and practices. This surtax would be additive to any existing surtaxes or anti-dumping and countervailing duty measures, as well as forthcoming tariff measures based on the country of 'melt and pour' for steel," the Government added.