It’s coming: The Department of Finance Canada has issued its notice of intent to impose countermeasures in response to US tariffs on steel and aluminum products.
On June 1, 2018, the Department of Finance Canada issued a list of countermeasure tariffs which will take effect on July 1, 2018. These countermeasures targeted a wide range of products which include (obviously) steel and aluminum but also include stainless steel, food products (stock up on ketchup), paper and wood products, household goods, and some types of appliances.
Where the new tariffs affect us (and our customers) is in the area of adhesives in small package sizes:
"HS Code 3506.10.xx.xx: Products suitable for use as glues or adhesives, put up for retail sale as glues or adhesives, not exceeding a weight of 1 kg."
Certain adhesive products which we currently supply in 400ml tubes (or smaller) are now subject to an additional tariff upon import into Canada as of July 1, 2018. As of now, this category of products is subject to a 10% tariff. Larger package quantities (1kg or larger) are not subject to this tariff.
We are reaching out to those customers we know will be affected by this change, and will work with them to minimize the impact of these new tariffs.
You can see the text issued by the Department of Canada Finance by clicking here.