The Globe and Mail reports in its Friday edition that Canadian manufacturers are scrambling to manage a sudden expansion in the number of products hit by the United States' hefty tariffs on steel and aluminum. The Globe's Mark Rendell writes that last Friday, the Department of Commerce added 407 new categories to the list of products that are subject to 50-per-cent metal tariffs. These include a broad range of "derivative" products, ranging from packaging materials to household appliances and large machinery. The move, made at the request of American companies seeking to be incorporated into U.S. President Donald Trump's protectionist regime, significantly expands the scope of the sectoral tariffs imposed under Section 232. Canadian manufacturers that previously thought they had dodged tariffs are now clambering to figure out which of their goods -- and what percentage of a given product -- will be dinged at the border. Ted Murphy at U.S. law firm Sidley Austin said, "Anyone who has anything that contains steel or aluminum is clearly fair game." There is no exemption from 232 tariffs for goods that comply with the continental free trade agreement. The only exception is auto parts, which have received a 232 carve-out on cars.
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