On March 16, the Canadian Steel Producers Association (CSPA) stated its hope to leverage negotiations surrounding the United States–Mexico–Canada Agreement (USMCA) to push for an end to the high tariffs on steel imposed by the United States.

Last year, the administration of U.S. President Donald Trump imposed tariffs of 25% on imported steel and aluminum, respectively, and subsequently raised the tariff on steel to 50% in June 2025.

Recently, Catherine Cobden, President of the Canadian Steel Producers Association, remarked that 2026 is proving to be an "extremely difficult" year for the Canadian steel industry. Prior to the U.S. tariff imposition, Canada exported approximately 6 million tons of steel to the United States annually; currently, export volumes have been cut in half, forcing Canadian steel companies to shift their sales focus toward the domestic market. Meanwhile, the country's major steel producers have already incurred significant financial losses. Algoma Steel, for instance, saw its fourth-quarter shipment volumes decline by 31%, resulting in a net loss of $364.7 million—with direct costs attributable to tariffs alone exceeding $60 million. Rising steel prices have also dealt a blow to downstream industries that rely on steel as an input. Ambico Limited, an Ottawa-based company specializing in the design and manufacture of specialty doors, windows, and frames (products widely utilized in high-security environments such as military facilities, correctional institutions, and hospitals), has incurred approximately $500,000 in additional costs due to U.S. tariffs and is currently intensifying its efforts to cultivate new clients within the European market.