The Globe and Mail reports in its Wednesday, Aug. 6, edition that in June, aluminum and steel products accounted for nearly two-thirds of U.S. import duties on Canada, highlighting the impact of President Donald Trump's tariffs on specific industries. The Globe's Jason Kirby writes that economists caution that Canada's weak exports may slow growth significantly in the second quarter. Despite a widening merchandise trade deficit of $5.9-billion in June -- up from $5.5-billion in May -- the United States-Mexico-Canada Agreement appears to mitigate some effects of the trade wars. While exports to the U.S. increased by 3.1 per cent from May, they fell 12.5 per cent compared with June, 2024. The deepest wounds were felt by a select group of industries hit hard by Mr. Trump's sectoral tariffs, which he imposed on autos, steel and aluminum under Section 232 of the U.S. Trade Expansion Act of 1962.
Total exports of unwrought aluminum and iron and steel products both fell in June by more than 11 per cent, after Mr. Trump doubled the tariff on steel and aluminum to 50 per cent that month. Meanwhile, motor vehicles and parts exports fell 4.2 per cent in June.
In fact, new U.S. trade numbers show a relatively small number of Canadian products accounted for most of the duties the U.S. collected in June.
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