c steel tariff RTX50DA0 Lee Jae Won

Canada, not China, could lose the most from the 25% steel tariff

25%

US president Donald Trump announced on Thursday (March 1) that he wants to apply a 25% tariff on steel imports, but the measure could hurt long-time US trading partner Canada the most.

Published   |  Photo by Reuters/Lee Jae Won
c steel tariff RTX50DA0 Lee Jae Won
25%

The US is the largest buyer of steel in the world. Though it gets the metal from over 110 countries, more than 75% comes from just 10 nations.

c steel tariff RTX50DA0 Lee Jae Won
25%

Top 10 sources for US steel imports in 2017

c steel tariff RTX50DA0 Lee Jae Won
25%

Canada, Brazil, Korea, and Mexico produce almost half of the steel imported by the US. Canada exports 90% of its supply of the metal to its southern neighbor.

c steel tariff RTX50DA0 Lee Jae Won
25%

Share sent to the US of total steel exports in 2016

c steel tariff RTX50DA0 Lee Jae Won
25%

Though China is a major steel exporter, it doesn’t send nearly as much steel to the US as other trading partners.

c steel tariff RTX50DA0 Lee Jae Won
25%

Some investors seem to know that. Judging from stock movement, they’re more concerned with the potential impact of Trump’s tariffs on Canadian and Korean steelmakers than on Chinese firms.

c steel tariff RTX50DA0 Lee Jae Won
25%

According to the Wall Street Journal, Chinese steelmakers Baowu and Hesteel did not sell off as heavily as Canada’s Stelco and Korea’s Posco following Trump’s announcement on Thursday.

home our picks popular latest obsessions search