Latest news with #tradeagreement
CNA
10 hours ago
- Business
- CNA
Canada Warns Of More Duties On US Steel And Aluminum If No Deal Is Reached
OTTAWA: Canada could increase counter-tariffs on US-produced steel and aluminum if it fails to reach a broader trade agreement with President Donald Trump within 30 days, Prime Minister Mark Carney said on Thursday (Jun 19). Speaking at a press conference, Carney said Canada would adjust its existing countermeasures on Jul 21 depending on progress made in the ongoing trade talks with Washington. "Canada will adjust its existing counter-tariffs on US steel and aluminum products on July 21 to levels consistent with progress made in the broader trading agreement with the United States," Carney said. TARIFF DISPUTE ESCALATES Trump raised import duties on steel and aluminum to 50 per cent from 25 per cent earlier this month, a move that triggered backlash from Canadian industry leaders and demands for a strong response. Canada is the largest exporter of these metals to the United States. Carney said he had agreed with Trump to try and finalize a new economic and security agreement by Jul 21. Until then, Canada will refrain from immediately matching the US hike in order to allow for progress in the negotiations. In March, Canada had already imposed 25 per cent retaliatory tariffs on steel products worth C$12.6 billion and aluminum worth C$3 billion. PROCUREMENT AND DOMESTIC MEASURES As part of Thursday's announcement, Carney unveiled new procurement rules that will prioritize domestic producers. Canadian firms and international partners with reciprocal, tariff-free access will now be allowed to compete for federal contracts involving steel and aluminum. The Canadian government will also implement new tariff-rate quotas set at 100 per cent of 2024 levels for steel imports from non-free trade agreement countries. This is intended to stabilize the domestic market and prevent harmful trade diversion. "We are united in working on all forms of support for the industry... that starts with buying Canadian steel and aluminum for federal projects," Carney said. Canada exports more than 90 per cent of its total steel and aluminum to the US, and imports about one-fifth of US steel and half of its aluminum, according to the Royal Bank of Canada. This underscores the deep integration of metals trade between the two nations. Under Carney's leadership, Canada has launched major infrastructure initiatives—from defense to energy and housing—that are expected to require massive amounts of steel and aluminum.
Yahoo
a day ago
- Business
- Yahoo
Steelmaker Ternium pushes for stronger USMCA trade pact in face of tariffs
By Kylie Madry MEXICO CITY (Reuters) -Ternium, a steelmaker with a massive Mexico business, on Wednesday pushed for stronger terms of a regional trade agreement ahead of a pending review, despite current headwinds from steel tariffs imposed by the government of U.S. President Donald Trump. WHY IT'S IMPORTANT Shipments from Mexico to the U.S. under the U.S.-Mexico-Canada (USMCA) trade agreement are currently exempt from tariffs, though steel products face a whopping 50% tariff. The U.S. and Mexico are negotiating a deal to reduce or eliminate the steel tariffs on imports up to a certain volume, Reuters reported last week. CONTEXT The USMCA deal is up for review next year, though some officials believe it may come sooner. In a presentation to analysts in New York on Wednesday, Ternium pushed for stronger "rules of origin" as part of the review to protect the region against what it called unfair trade. Steelmakers have accused China of engaging in a practice known as dumping, in which they sell their product abroad below market value. Products can be shipped through another country before reaching their final destination, often making their origin unclear. KEY QUOTE "While management acknowledges the adverse effects on the global economy, they view the U.S. (tariffs) as beneficial for long-term globalization," analysts at J.P. Morgan said in a note to clients. BY THE NUMBERS The U.S. shipped 2.28 million metric tons more of steel to Mexico than Mexico shipped to the U.S. in 2024, Ternium said, though the U.S. government has previously accused Mexico of flooding its domestic market with steel. WHAT'S NEXT Ternium is looking to boost its market share in Mexico's local market in the coming years, management said. In Brazil, it said Chinese imports continue to pressure the market. Ternium could also acquire the remaining shares it does not currently hold in Brazil's Usiminas, the J.P. Morgan analysts said, though it is not a priority at the moment. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
a day ago
- Business
- Reuters
Steelmaker Ternium pushes for stronger USMCA trade pact in face of tariffs
MEXICO CITY, June 18 (Reuters) - Ternium (TX.N), opens new tab, a steelmaker with a massive Mexico business, on Wednesday pushed for stronger terms of a regional trade agreement ahead of a pending review, despite current headwinds from steel tariffs imposed by the government of U.S. President Donald Trump. Shipments from Mexico to the U.S. under the U.S.-Mexico-Canada (USMCA) trade agreement are currently exempt from tariffs, though steel products face a whopping 50% tariff. The U.S. and Mexico are negotiating a deal to reduce or eliminate the steel tariffs on imports up to a certain volume, Reuters reported last week. The USMCA deal is up for review next year, though some officials believe it may come sooner. In a presentation to analysts in New York on Wednesday, Ternium pushed for stronger "rules of origin" as part of the review to protect the region against what it called unfair trade. Steelmakers have accused China of engaging in a practice known as dumping, in which they sell their product abroad below market value. Products can be shipped through another country before reaching their final destination, often making their origin unclear. "While management acknowledges the adverse effects on the global economy, they view the U.S. (tariffs) as beneficial for long-term globalization," analysts at J.P. Morgan said in a note to clients. The U.S. shipped 2.28 million metric tons more of steel to Mexico than Mexico shipped to the U.S. in 2024, Ternium said, though the U.S. government has previously accused Mexico of flooding its domestic market with steel. Ternium is looking to boost its market share in Mexico's local market in the coming years, management said. In Brazil, it said Chinese imports continue to pressure the market. Ternium could also acquire the remaining shares it does not currently hold in Brazil's Usiminas ( opens new tab, the J.P. Morgan analysts said, though it is not a priority at the moment.
Arab News
2 days ago
- Business
- Arab News
India's commerce minister heads to UK to fast-track free trade deal
New Delhi India's Commerce Minister Piyush Goyal has embarked on a two-day visit to the UK to accelerate talks on a long-pending bilateral free trade agreement, his office said on Wednesday. Launched in January 2022, the FTA negotiations between India and the UK were set to conclude the same year, but despite more than a dozen formal rounds, talks have stalled over issues like tariffs, rules of origin and mobility for services professionals. A deal-in-principle was announced in May by Indian Prime Minister Narendra Modi and his British counterpart, Keir Starmer. Goyal's UK visit comes in the 'backdrop of the announcement' and 'aims to accelerate bilateral engagements and harness emerging opportunities,' the Ministry of Commerce and Industry said in a statement. The minister is scheduled to meet UK Business and Trade Secretary Jonathan Reynolds to 'review the progress made in the ongoing FTA negotiations and chart out a clear, time-bound road map for its finalization and implementation.' If Goyal's visit succeeds in producing an implementation road map with timelines, he would be able to start negotiations on a bilateral investment treaty with the UK, Anupam Manur, professor of economics at the Takshashila Institution in Bangalore, told Arab News. 'A working FTA for India is extremely important, especially in a scenario where global trade uncertainty is at an all-time high due to the trade war and tariffs imposed by President Trump,' Manur said. 'In this scenario, an FTA with the UK delivers greater certainty to India, provides market access to an important large economy, and will also act as a leverage point for trade negotiations with the US.' India has so far signed 14 free trade agreements with 25 countries, along with several regional and preferential trade pacts covering additional nations. These include agreements with the Association of Southeast Asian Nations, Japan, South Korea, Australia and the UAE. Talks are also ongoing with the Gulf Cooperation Council and the EU — with commitments to conclude talks in 2025.
Zawya
2 days ago
- Business
- Zawya
Morocco to review Turkey trade deal over expanding deficit, sources say
Morocco is planning to review its trade agreement with Turkey and push for more Turkish investment to offset an expanding trade deficit driven largely by Turkish fabric imports, two sources told Reuters. Omar Hjira, the Moroccan cabinet member in charge of trade, will soon visit Turkey - Morocco's sixth-biggest trading partner - to discuss measures aimed at mitigating the $3 billion deficit, the sources, who attended a meeting with Hjira, said on Tuesday. They asked not to be named due to the sensitivity of the matter. Morocco's trade and industry ministry did not immediately respond to a Reuters request for comment. Initially signed in 2004, Morocco and Turkey introduced amendments to their free trade deal five years ago, including a 90% tariff on Turkish textile and clothing imports to protect Moroccan manufacturers and jobs. Moroccan companies still import large volumes of Turkish fabric, however, to meet the needs of the country's apparel sector. Morocco's overall trade deficit widened 22.8% to 109 billion dirhams ($12 billion) in the first four months this year, according to official data. The deficit expanded 7% to 306 billion dirhams last year, and Morocco's deficit with Turkey was its third-largest after the U.S. and China. (Reporting by Ahmed Eljechtimi; Editing by Joe Bavier)
