The steel industry welcomes Ottawa announcements

Mark Carney was in Hamilton on Wednesday to announce new measures to restrict and reduce important foreign steel to the country and help workers in the steel industry. These measures are widely praised by industry, elected officials and experts, despite some reservations about their scope or implementation.

It is definitely a step in the right direction for usimmediately declares François Desmarais, the vice-president of commercial and industrial affairs for the Canadian Association of Steel producers.

He believes that these measures allow to counterbalance the loss of access to the American market caused by the Trump administration’s pricing policy, but also to respond to Chinese industrial overcapacity.

Canada is the first country on the planet to take such a serious measure to meet Chinese industrial capacityhe says.

He explains that the Canadian steel industry was in a difficult and perilous position even before the taxation of customs tariffs on steel exports to the United States.

Less than half of the steel consumed in Canada has been sunk in Canada because we face a lot of dumping in our market – there are a lot of unfair business practices that take place in the countryhe explains.

If the protections of the American commercial space once enabled Canada to be competitive and to obtain a good part of the markets, Mr. Desmarais considers that the Trump administration prices have closed this market to Canadian exporters.

Our Canadian market has become essential to our survival. We had to take measures to be able to win back our own market

He believes that the measures announced will allow better integrity of the Canadian market and help protect it from unfair trade measures, such as dumping.

Diya Jiang, a researcher at McGill University specializing in international trade and Canada-American relations, stresses that this announcement indicates that the government wants to prioritize an agreement with the United States.

The government announces that there are changes, prices, quotas, on steel from China or other countries, but there is no change for the United States and Mexico. It is a clear signal that Canada really wants to avoid tensions with Washingtonshe says.

She notes that it is also a way of aligning with the United States to counter Chinese dumping while allowing the development of the local steel industry in the longer term.

On the other hand, she judges that these measures represent a notable protectionist turn for Canada.

This announcement shows a broader change in the context of Canada’s economic policy. […] Before, we put much more emphasis on free trade. Now we are talking more about economic security and resilience

She believes that it is in response to changes in world trade with the increase in protectionist practices in the United States.

If these measures can allow a certain advantage for the local industry, Ms. Jiang believes that their success will ultimately depend on the result of negotiations with Washington, but also those with other commercial partners in order to diversify the outlets of Canadian steel.

Elected officials and favorable unions, but vigilant about the details

Michel Courcy, assistant to Quebec director of the Metallos union, welcomes the announcements of the Carney government.

We are glad that the government adjusts the shot after the first announcements in June. We are happy that he heard us on the import quotashe said.

On the other hand, he says he is disappointed with the lack of details on certain measures concerning employment insurance, support for workers and Canadian purchase.

Matthew Shoemaker, the mayor of Sault-Sainte-Marie, believes that if the measures represent a step in the right direction, they do not necessarily go far enough.

He salutes funding for the modernization of the industry, but believes that the measures are inadequate to counter Chinese dumping, because he believes that China could simply pass its steel in Canada through countries with which Canada has a free trade agreement.

It is necessary stricter regulations on the countries of origin of steel in processed productshe said.

Today, the federal government poses decisive gestures to reduce imports, invest in local production and prioritize Canadian steel in national projectsreacted the mayor of Hamilton, Andrea Horwath, by press release.

According to her, these measures will help stabilize our local industry, protect well -remunerated jobs and ensure the role of Hamilton in building the future of Canada .

With information from Andréanne Williams.