Canada’s aluminum and mining industries aren’t happy about the latest tariffs from the U.S. They’re making it clear that the move could backfire on both sides of the border. Industry leaders argue that these tariffs won’t just hurt Canadian businesses; they’ll also drive-up costs for American manufacturers and consumers, disrupting supply chains and putting more strain on the economy.

Jean Simard, President and CEO of the Aluminum Association of Canada, says the industry saw this coming—but that doesn’t make it any less frustrating.

"We’re disappointed, but we were expecting this and are ready for it," Simard said. "Unfortunately, these tariffs will hit American workers and consumers by making aluminum more expensive right away."

The Canadian aluminum sector employs 9,500 workers, but its impact reaches far beyond that. The metal produced in Canada is used by over 500,000 American manufacturing workers to create parts and products, adding more than $200 billion to the U.S. economy. Given how deeply connected the two economies are, Simard says these tariffs will do more harm than good, especially as the U.S. battles inflation.

Rather than punishing Canada, he argues, the focus should be on addressing China’s unfair trade practices. China has flooded the global market with artificially cheap metal due to massive government subsidies. Canada has already taken action by slapping a 25% surtax on Chinese aluminum imports and rolling out an advanced tracking system to ensure responsible sourcing.

"The U.S. produces only about one million metric tons of primary aluminum a year but consumes six times that amount," Simard pointed out. "These tariffs won’t fix that imbalance—they’ll just make aluminum more expensive for American businesses."

The concerns don’t stop with aluminum. Pierre Gratton, President and CEO of The Mining Association of Canada (MAC), says the tariffs on minerals and metals will shake up critical supply chains that both countries rely on.

"Canada has always been a reliable partner for the U.S., supplying minerals and metals that American industries, including defense, count on. These tariffs are a step in the wrong direction—they’ll disrupt supply chains, make critical materials harder to get, and increase costs for U.S. businesses," Gratton said.

In 2022, Canada sent over $80 billion in minerals and metals to the U.S., building on a 2020 plan to strengthen their partnership. But now, Gratton warns, new tariffs could put that at risk. Mining contributes $161 billion to Canada’s GDP, supports 700,000 jobs, and is the top private employer of Indigenous workers.

"If the U.S. keeps pushing Canada away, we’ll start looking at other markets," he said. "And that could mean long-term consequences for American access to essential materials."

Instead of throwing up trade barriers, Canadian industry leaders want both governments to focus on strengthening economic ties. The aluminum and mining industries are calling for smarter policies that prioritize teamwork over trade conflicts. They believe that if the U.S. and Canada want to stay strong economic partners, they should join forces to address unfair Chinese trade practices instead of creating obstacles for each other.