US aluminium industry needs tariff certainty, says association

The US aluminium industry has said it supports tariff-free access to Canadian aluminium and that continued access to reliable and affordable metal from Canada is important for domestic producers and consumers. 

The chief executive of the Aluminium Association, Charles Johnson, said the aluminium industry supports tariff-free access for Canadian aluminium, as the 25% tariffs on all imports of aluminium and steel were imposed by President Trump. 

“We appreciate President Trump’s focus and attention on growing and strengthening the US aluminum industry, and there is a lot to like in today’s action. The domestic industry has invested more than USD10 billion since 2016 mostly in mid-and-downstream production and recycling. This has been driven by growing demand, a competitive tax environment and strong, targeted trade enforcement the president supported in his first term,” he said in a statement. 

For this growth to continue, however, Johnson said the US aluminium industry needs two things: long-term market certainty; and a reliable supply of affordable metal, which today comes in large part from Canada.

Aluminium is a critical material for the US economy and national defence – used in everything from cars to beverage cans to fighter jets. The US is investing significantly and will need both smelted and recycled aluminium to meet growing demand.  

About half of all aluminium used in the US is imported, with the vast majority from Canada. According to the US Department of Commerce, the US imported 3.2 million metric tonnes of aluminium from Canada in 2024.

Johnson added that the industry’s decades-long trading relationship with Canada is “a good deal for America”.  

“President Trump’s administration is aggressively pursuing multiple tariff initiatives on behalf of the broader US economy. The US aluminum industry needs certainty in this tariff landscape to support our growth and investment,” added Johnson. “Today’s action closes loopholes in existing Section 232 tariffs that will support our industry’s expansion. 

“However, we encourage President Trump and his administration to deliver a deal with Canada to ensure robust metal supply for US manufacturers and consumers as he did in his first term with the USMCA.” 

The United States-Mexico-Canada Agreement (USMCA) replaced the North America Free Trade Agreement (NAFTA) and came into force on 1 July 2020, to create a ‘balanced and reciprocal’ trading arrangement between the three countries.

Markets have expressed concerns over the implications of US tariffs, as 25% tariffs on aluminium and steel are enforced.

The S&P 500, which tracks the 500 biggest companies in the US, fell 10% as economists lowered their forecasts for S&P 500 and the US economy as a whole.

Robert Budway, CMI president, pointed out trade protectionist measures have had “serious impacts” on the US economy, domestic food security and jobs in the tin mill industry: “Since the 2018 tariffs, America’s tin mill steel producers shut down nine tin mill lines. Today, only three domestic production lines remain open in the United States, meaning American steel producers cannot meet US demand with the highest tinplate steel costs in the world.”