Donald Trump tax exemption

End of exemption for Canada, Mexico and the European Union

Secretary of Commerce Wilbur Ross announced on Thursday, May 31, 2018, that the exemption granted to Canada, Mexico and the European Union from the 25% surtax on steel imports and the 10% surtax on aluminum imports would not be extended. As of June 1, 2018, surtaxes will come into effect.

It should be recalled that the extension of the exemption was conditional on progress in the NAFTA renegotiations on the American side. Wilbur Ross mentioned that the renegotiations were taking longer than expected and that the administration had therefore decided to add Canada and Mexico to the list of countries affected by these surtaxes.

The Canadian government finds the measure adopted by the Trump administration unacceptable and has announced that it will impose surtaxes of up to $16.6 billion on steel and aluminum products of American origin and on other American products. These surtaxes would take effect July 1, 2018 and would not be eliminated until the Trump administration lifted the surtaxes imposed on Canadian steel and aluminum. The European Union and Mexico also intend to respond by also applying tariffs on certain American imports.

You will find here a link to the Notice of Intent to Impose Countermeasures against the United States issued by the Department of Finance Canada. The products subject to countermeasures are displayed there with the associated percentage of surcharges.

For more information, do not hesitate to contact our consultation service by email at consultations@w2c.ca, or by calling 514-268-2637, option 2.


Please note that all information on this blog is subject to change. All blog articles are for information purposes only. We are always available to answer in detail any questions our clients may have regarding the information in this blog.

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Dynamic and sociable, Marilyn is an excellent listener and always knows exactly what kind of workplace training and coaching our clients need. In addition to the training component, she acts as an HR leader by being the resource person for employees and managers. Marilyn ensures the best working conditions to allow the team to flourish.