US President Donald Trump has announced an increase in duties on imports from Canada to 35%, which has caused concern among industrialists and steel market participants. The new tariffs will come into effect on August 1, 2025, while Trump also announced the possible introduction of 15-20% duties for most other partner countries. This is reported by Bloomberg.

Despite the USMCA agreement, the tariffs will affect goods that do not meet its requirements. The key products affected are metals, particularly steel and aluminum, which are already subject to a separate 50% tariff.

“Fentanyl is hardly the only challenge we have with Canada, which has many Tariff, Non-Tariff, Policies and Trade Barriers, which cause unsustainable Trade Deficits against the United States,” Trump said in an open letter to Canadian Prime Minister Mark Carney.

In response, Carney stressed that Canada will continue to defend the interests of its workers and companies and is ready for negotiations. He added that Ottawa has already taken measures to combat drug trafficking and is seeking constructive dialogue.

The introduction of tariffs caused a stir in financial markets: investors fear a new phase of global trade tensions, particularly from the European Union. Analysts warn that a blow to the supply chains of steel, minerals, and components could result in higher costs for manufacturers in the US and around the world.

“The Canada letter is “a big shock, still meaningful for the Canadian economy, and the cadence at which he’s issuing these letters and threatening to put universal tariffs on other countries is very, very negative for financial markets more generally,” said Carl Chamotta, chief strategist at Corpay.

Canadian Industry Minister Melanie Joly said the country is awaiting details of the White House and president’s decision and is ready to fight it.

It remains unclear whether the new tariffs will affect USMCA-compliant products.

Earlier, Canadian steel producers called for an immediate response to Trump’s tariffs. The country’s steel producers’ association condemns the US president’s decision, which effectively closes the American market to half of Canadian products.

On May 30, US President Donald Trump announced at the US Steel plant in Pennsylvania that he would impose tariffs on steel imports into the United States at a rate of 50%, doubling the current rate, in order to protect the country’s steelmakers. The increased tariff rate took effect on June 4.