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News & Press: Industry News

U.S. Lifts 10% Tariff on Canadian Aluminum Imports

Tuesday, September 15, 2020  
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Canadian flagThe United States has lifted its 10-percent tariff on Canadian aluminum, retroactive to September 1, 2020. This major move was announced by the Office of the United States Trade Representative just hours before Canada was set to unveil its retaliatory measures.

In a statement, U.S. Trade Representative Robert Lighthizer cited "consultations" with Canadian officials and an expectation that trading of aluminum is likely to balance out in the months ahead, as to why the Americans decided to withdraw what Prime Minister Justin Trudeau has called "unjust" tariffs.

The United States expects that shipments of non-alloyed, unwrought aluminum from Canada for the remainder of 2020 will be no greater than the following monthly volumes:

September - 83,000 tons
October - 70,000 tons
November - 83,000 tons
December - 70,000 tons

Based on these expectations, the United States will resume duty-free treatment of non-allowed, unwrought aluminum retrospective to September 1, 2020. Six weeks after the end of any month during this period, the United States will determine whether actual shipments met expectations. If actual shipments exceeded 105 percent of the expected volume for any month during the four-month period, then the United States will impose the 10 percent tariff retroactively on all shipments made in that month.

If shipments in any month exceed the expected volume, the United States expects that shipments in the next month will decline by a corresponding amount.

In addition to the forgoing, if imports exceed 105 percent of the expected volume in any month the United States may re-impose the 10 percent tariff going forward.

Read more about the USTR Statement on Canadian Aluminum here.

The AEC will continue to bring you the news about any developments in the 232 Trade orders, as well as other important trade information.