US and Canada Aluminum Groups Urge End to Tariffs

Industry groups in the United States and Canada are advocating for the elimination of mutual aluminum tariffs to establish a unified front against Chinese competition. The trade dispute currently involves a 50% tariff on Canadian aluminum imposed by the United States and a 50% retaliatory duty on U.S. imports implemented by Canada after negotiations for a deal collapsed.

Charles C. Johnson, CEO of the U.S. Aluminum Association, warned that the resulting trade uncertainty is disrupting North American supply chains and making companies reluctant to commit long-term capital investment. He noted that the tariffs have created both winners and losers within the domestic U.S. market.

Conversely, the Aluminium Association of Canada argues that U.S. manufacturers will suffer more than Canadian producers. The association points out that the U.S. relies on Canada for 75% of its imported primary aluminum and lacks the domestic energy infrastructure to replace those supplies. Jean Simard, President and CEO of the Aluminium Association of Canada, proposed a "Fortress North America" strategy to preserve regional free trade while erecting barriers against non-market economies to prevent Chinese transshipment through third countries.