The Government of Canada now has 60 days to respond to the committee’s report

The International Trade Committee of Canada’s House of Commons has issued a report detailing the toll retaliatory tariffs are taking on the Canadian economy and calls on the government to work with the US for a swift resolution to the issues with five suggested recommendations.

“Section 232 of the United States Trade Expansion Act: Implications of Tariffs for Canada” specifically calls out the recreational boating industry’s hardships from the aluminium and steel tariffs and subsequent retaliation, details that were included due to the efforts of the National Marine Manufacturers Association Canada and the Provincial Marine Trade Associations through written testimony and lobbying efforts.

Specifics included in the report thanks to those efforts include Canada’s surtaxes have led to reduced sales; will reduce or delay investments in Canadian operations that could lead to job loss, company relocations or closure; the surtaxes are being applied to US imports that are unavailable from domestic sources; that Canada’s manufacturers cannot provide the country’s recreational boat dealers with the recreational boats that are imported from the United States and on which they are paying Canada’s surtaxes; and that the Canadian government should not apply the country’s surtaxes to recreational boats.

The report issues five key recommendations which include intensifying efforts seeking an outcome in which bilateral trade in steel and aluminum products is not limited by tariffs, quotas or other trade restrictions. Until that time, the Government of Canada should continue to consult with Canadian stakeholders on potential actions and support measures that would increase protections for Canadian workers, firms and jobs; review the application processes for surtax remissions, as well as the duty drawback and duties relief programs, to ensure that they are user-friendly and timely, as well as undertake further efforts to share information with small and medium-sized enterprises about available supports; ensure that the measures are being applied on certain Canadian steel and aluminum products are available to more of Canada’s steel, aluminum and related firms, regardless of their size, and to affected workers; make efforts to balance the needs of Canada’s firms that produce steel products with the needs of domestic firms that use these products as production inputs; and That the Government of Canada engage in ongoing discussions with the Government of the United States regarding the United States’ current and potential use of section 232 of the Trade Expansion Act of 1962 to apply tariffs on Canadian products. During those discussions, the Government should emphasize the scope, depth and strategic importance of the two countries’ trade relationship, and the need to exempt Canadian products from any U.S. trade restrictions.

The Canadian government now has 60 days to respond to the committee’s report.

The National Marine Manufacturers’ Association Canada was joined in its efforts by the Association Maritime du Québec, the Atlantic Marine Trades Association, the Boating BC Association, Boating Ontario, and the Mid-Canada Marine Dealers Association.

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