Prime Minister Mark Carney on Wednesday said Canada will introduce a tariff rate quota for countries with which it has free trade agreements, excluding the United States, to protect the domestic steel industry.

Effective from 1 August 2025, the quota will apply to countries with which Canada has free trade agreements, excluding the US.

After long insisting that Canada could avoid Trump tariffs through talks, Mark Carney now says that is unlikely for any nation.

Washington and Ottawa have been engaged in tempestuous trade talks for months. Carney’s team is desperate to end tariffs imposed by Trump on Canadian steel and aluminum exports and keep tariff exemptions for goods covered by the U.S.-Canada-Mexico trade deal (USMCA).

Canadian Prime Minister Mark Carney on Wednesday said that Canada will introduce a tariff rate quota for countries with which it has free trade agreements, excluding the United States, to protect the domestic steel industry.

Canada will implement additional tariffs of 25 percent on steel imports from all countries containing steel melted and poured in China before the end of July. Carney is responding

Canadian companies are boosting trade with allies other than the U.S. and with smaller markets to minimize economic damage from President Donald Trump's tariffs, government data shows.