Candace Elliott / Reuters
Updated by 3 pm
The Trump administration has reached an agreement to lift tariffs on imports of steel and aluminum from Canada and Mexico, which could make the parties closer to ratification of the USMCA, the trade agreement, which will update the NAFTA agreement.
Tariffs will be removed within two days, according to a joint statement by the United States and Canada, published by the Canadian Ministry of Foreign Affairs.
American steel and aluminum tariffs from Canada and Mexico have been in force for nearly a year, the importation of steel with a 25% tariff and aluminum with a 10% increase. Responsible tariffs on both sides have been around for so long.
"I'm glad to announce that we have just reached an agreement with Canada and Mexico" to put an end to the latest tariffs, Trump said in a speech by the National REALTORS Association on Friday.
Then Trump called on Congress to ratify the USMCA to "make our economy even more successful than it is already – if possible."
Mexico's Deputy Secretary for North America, Jesse Seid, also welcomed the agreement saying he was accepted "with great enthusiasm" in Mexico. He added that "this action paves the way for ratification" of the NAFTA change agreement
Breaking a debate on Friday afternoon, Canadian Prime Minister Justin Trudo said, "There was no breakthrough in the talks."
During an excursion to Stelco Steelmaking Plant in Hamilton, Ontario, Trudeau told reporters he had had many talks with the president in recent weeks and realizing that these tariffs were harmful to workers and consumers on both sides of the border. "With the leaders of the two countries now hoping to ratify the USMCA, Trudeau said," It does not make much sense to continue to have steel and aluminum tariffs between our countries.
Trudo speaks to President Trump about a deal to end tariffs around noon, according to Cameron Ahmad, Director of Communications at Trudo.
The joint statement states that the US and Canada will set up a way of monitoring the trade in aluminum and steel between them in order to prevent "overloading" of aluminum and steel produced by a third party.
The deal also calls for the introduction of tariffs "imports of aluminum or steel products grow significantly beyond the historical trade volumes of [agivenperiodoftimetakingintoaccountthemarketshare'
"Canada buys more US steel than any other country in the world, accounting for about 50% of US exports," the Canadian government says. She adds that nearly 84% of Canadian aluminum production is exported to the US
In response to the deal, the US Metalworkers and Metalworkers Coalition, or CAMMU, welcomed the news and urged the Trump administration to lift other steel sanctions and aluminum. The group was set up to advocate against Trump's metal tariffs. It represents about 30,000 companies through businesses and trade associations.
"These tariffs are detrimental to the US manufacturing sector, and in particular to downstream US steel and aluminum companies, by increasing prices and production times for both domestic and steel imports and Aluminum
CAMMU also boasted the new steel agreement, in order not to replace the new eliminated tariffs with quotas it described as "even worse for quotas." American companies. "
Trump ordered the first round of tariffs steel and aluminum about a month after receiving a pi from 25 US steel and metal companies, urging it to act "to prevent excess steel capacity and increase steel imports from undermining our national security and the viability of the American steel industry."
The original tariff order of Trump directed the EU, releasing the closest US neighbors. But after long talks to revise the NAFTA deal, it took more time than the US administration hoped, both countries were included in the tariffs. The leaders of the three countries signed the new agreement between the US and Canada in late November. It will not come into force until all three legislative bodies have voted to ratify the trade pact.
At the end of April, Senate Finance Committee chairman Chuck Grassley, R-Iowa, warned Trump that the USMCA agreement would be "dead" unless steel and aluminum tariffs were lifted.
The news of a deal to cancel the tariffs comes two days after Finance Minister Stephen Munchin said a deal had risen during his testimony to the Senate Budget Subcommittee. Graciela Markes said she believed that the solution to the tariff halt might be imminent as she holds meetings in Toronto with Canadian Foreign Minister Cristiana Freeland.