The new plan comes amid stalled trade talks between Ottawa and Washington.
Published On 26 Nov 2025
Canada will offer more support to help the steel and lumber industries deal with United States tariffs and create a domestic market, as well as ramp up protections for steel and lumber workers.
Prime Minister Mark Carney outlined the new plan on Wednesday in a news conference.
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Ottawa will reduce the quota for steel imports from countries that do not have a free trade agreement with Canada to 20 percent from 50 percent of 2024 levels, Carney said.
Countries with a free trade agreement (FTA) with Canada will see their quotas cut to 75 percent from 100 percent of the 2024 level. This does not include the US and Mexico, which are bound by the United States-Canada-Mexico free trade deal.
Canada will also impose a global 25 percent tariff on targeted imported steel-derivative products, and incorporate border measures to combat steel dumping.
In July, Ottawa set a quota of steel imports at 50 percent of the 2024 level from non-FTA countries in a bid to stop the dumping of foreign steel into Canada.
The measures are being tightened to open up the domestic market for Canadian-produced steel, said a government official.
The steel industry contributes more than 4 billion Canadian dollars ($2.8bn) to Canada’s gross domestic product (GDP) and employs more than 23,000 people directly. It is, however, one of the two sectors hit hardest by US President Donald Trump’s 50 percent tariffs on steel imports from Canada.
Trump has imposed 50 percent tariffs on steel, and softwood lumber, long subject to US tariffs, is currently taxed at 45 percent after the Trump administration’s hike last month.
Carney said the decades-l
