Federal response to steel and aluminum crisis falls short – urgent improvements needed to protect jobs

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TORONTO, June 23, 2025 (GLOBE NEWSWIRE) — The United Steelworkers union (USW) says the federal government’s response to the U.S.-imposed tariffs on steel and aluminum is insufficient to protect Canadian jobs and industry.

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“Steelworkers are on the front lines of this trade war. Jobs are already being lost and more are at risk every day,” said Marty Warren, USW National Director. “The government’s plan is a start, but it’s inadequate to meet the scale of this crisis.”

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The new tariff-rate quota (TRQ) system limits imports from non-FTA countries to 2024 levels to stop trade diversion, where cheap steel blocked from entering the U.S. is redirected into Canada. This plan leaves out two-thirds of imports to Canada, including from countries like South Korea and Vietnam, with whom Canada has a free trade agreement (FTA), despite repeated dumping violations.

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“The tariff-rate quota is too narrow. It locks in high levels of dumped steel and doesn’t cover some of the worst offenders,” Warren said. “We’re ready to work with the government to fix this framework, but the gaps must be closed.”

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USW welcomes tariffs on Chinese-origin steel and aluminum, based on “melt-and-pour” and “smelt-and-cast” rules — addressing a long-time union demand. But the union is concerned that enforcement details are still unclear and need to go further. 

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The union also echoed criticism from aluminum producers, warning that delayed action risks more layoffs.

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“Waiting another month for countermeasures will deepen the damage. We cannot overstate the potentially dire and irreversible consequences facing our Canadian steel and aluminum sectors and the thousands of workers whose jobs are at risk,” Warren said.

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The Steelworkers are calling for immediate support for workers and stronger procurement rules to prioritize Canadian-made steel and aluminum. The plan fails to protect jobs, and its reciprocal procurement approach lacks the teeth needed to deliver real results. Without clear rules, steel from FTA countries like South Korea can still undercut Canadian producers and erode domestic market share.

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“The United Steelworkers will continue to press the federal government to strengthen this framework and deliver the fairer, more effective response Canadian workers deserve. Canadian jobs are on the line — and half-measures won’t cut it,” Warren concluded.

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About the United Steelworkers union

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The USW represents 225,000 members in nearly every economic sector across Canada and is the largest private-sector union in North America, with 850,000 members in Canada, the United States and the Caribbean.

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Each year, thousands of workers choose to join the USW because of the union’s strong track record in creating healthier, safer and more respectful workplaces and negotiating better working conditions and fairer compensation – including good wages, benefits and pensions.

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For more information, please contact:

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Shannon Devine, USW Communications, 416-938-4402, [email protected]
François Soucy, USW Communications, 873-355-2841, [email protected]

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