Steel companies across the province are searching for ways to maintain business-as-usual in the face of up to 50 per cent tariffs from President Donald Trump.
On Monday, President Trump announced he would impose a 25 per cent tariff on all steel and aluminum imports from Canada which would add on to the other tariffs that were previously announced.
President of Supreme Steel, David Fritz, says Canada’s steel industry has been 100 per cent reliant on the United States and other countries in the past, which is now posing a challenge.
“This is a disruptor. As a business, we’re forced to find ways to work around the upcoming challenges, and we’ll do that, (we just wonder) what is the net impact to our long-term partnerships on both sides of the border?’
He joined the Saskatchewan NDP today in urging Canadian companies to support local and buy made-in-Saskatchewan steel for their contracts and builds.
“For a lot of reasons, and this is just another one, it always makes sense to buy steel locally. This is just the latest reason why…We need to find a way to be self-sufficient in the steel industry.”
Fritz adds that the United States used to benefit from the dollar exchange rate when purchasing steel products from Saskatchewan, but these tariffs will make that an unviable option. He adds that the retaliatory tariffs Canada chooses to implement will have an impact on business, as well.
He admits that 10 per cent of Supreme Steel’s annual revenue is U.S. based, so the company will be looking to secure as many domestic contracts as possible, as well as explore other international partnerships, in an effort to make up for potential lost business.
NDP Leader Carla Beck also underlined the detriment of the impending tariffs, saying Saskatchewan exports nearly $400 million in steel to the United States annually.