Prime Minister Carney Unveils Sweeping Measures to Protect and Strengthen Canada’s Steel Industry
Prime Minister Carney announces new tariffs and $1B investment to protect Canadian steel and jobs.
HAMILTON — Prime Minister Mark Carney has announced a bold new plan to safeguard and grow Canada’s steel industry amid increasing global trade tensions and structural shifts in the sector.
Speaking in Hamilton on July 16 — a city synonymous with steel — Carney laid out a comprehensive suite of policies aimed at protecting Canadian jobs, reducing foreign reliance, and positioning the domestic steel industry for long-term resilience.
Tightening Tariff Measures to Shield Canadian Steel
Canada will move swiftly to restrict and reduce steel imports, especially from non-free trade agreement (FTA) countries. Effective in the coming days:
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Tariff rate quotas for non-FTA countries will be slashed to 50% of 2024 volumes, with a 50% tariff applied to steel imports above those levels.
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For FTA countries (excluding the U.S.), a 100% cap of 2024 levels will be introduced, with the same 50% tariff on excess imports.
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A 25% additional tariff will apply to all steel imports from non-U.S. countries that contain steel melted and poured in China.
While CUSMA partners will not be affected by these new measures, the government confirmed it is reviewing Canada’s broader trade arrangements to better favour domestic producers, including adjusting the remission framework for Canadian steel and aluminum.
Canada has the potential to become its own best customer.
It’s time to build — with Canadian steel. pic.twitter.com/6Oj7lkQYMT
— Mark Carney (@MarkJCarney) July 17, 2025
$1.27 Billion Investment in Jobs, Production, and Innovation
To help workers and producers navigate the evolving market:
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$70 million will be allocated through Labour Market Development Agreements to assist up to 10,000 steel workers with training and income supports.
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$1 billion will be invested via the Strategic Innovation Fund to help steel companies advance domestic production projects.
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The BDC’s Pivot to Grow initiative will be enhanced to support small and mid-sized steel firms facing liquidity issues.
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$150 million from the Regional Tariff Response Initiative will be earmarked for steel-related businesses.
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The Large Enterprise Tariff Loan will expand eligibility with lowered revenue and loan thresholds, extended maturities, and a focus on employee retention.
Made-in-Canada Steel to Power Major Projects
As part of its broader national development strategy, the federal government will revise procurement policies to ensure Canadian steel is prioritized in federally funded construction. This includes infrastructure, housing, and energy projects.
Carney emphasized that Canada is shifting from “reliance to resilience” — calling for big, bold nation-building initiatives powered by Canadian materials.
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“Our steel industry will be central to Canada’s competitiveness, our security, and our prosperity,” said Prime Minister Mark Carney. “As Canada moves from reliance to resilience, Canada’s new government is taking a series of major measures to support, reinforce, and transform the industry to be more resilient in the face of profound shifts in global trade and supply chains.”
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