Department of Finance Canada announced a package of measures aimed at Canadian steel and aluminum producers during the dispute over U.S. tariffs.
The package had several parts. Canada planned to adjust existing counter-tariffs on steel and aluminum products on July 21, 2025, with the level of adjustment tied to progress in the broader trade arrangement with the United States.
Effective June 30, the federal government also planned reciprocal procurement policies. Those policies would limit access to federal procurement to suppliers from Canada and trading partners that give Canadian suppliers reciprocal access under trade agreements.
For steel imports, Canada announced tariff-rate quotas on steel products from non-free-trade-agreement partners at 100% of 2024 levels. Finance Canada said the quotas were intended to stabilize the domestic market and prevent trade diversion caused by U.S. actions.
A follow-up implementation announcement set TRQs at 2.6 million tonnes and applied a 50% surtax on steel imports above 2024 levels from non-FTA partners. The measure took effect June 27, 2025 and was scheduled for review after 30 days.
Finance Canada also said additional tariff measures would be developed for risks linked to global overcapacity and unfair trade in steel and aluminum. Those measures would use country of melt and pour for steel and country of smelt and cast for aluminum.
The package created two government-stakeholder task forces, one for steel and one for aluminum, to monitor trade and market trends.
The $10 billion Large Enterprise Tariff Loan facility also remained open to applicants. The facility provides liquidity to eligible large businesses affected by tariffs or countermeasures when traditional market financing is difficult to access.
For manufacturers and construction-related businesses, the measures can affect input prices, sourcing, procurement access, financing, and customs planning. They also show how tariff policy can become industrial policy when trade disruption reaches strategically important sectors.