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By Jordan King
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Canada, Mexico and Brazil will be hit the hardest by President Donald Trump's steel tariffs, as America's biggest steel exporters.
Newsweek has contacted finance departments for Canada and Mexico, as well as Brazil's Ministry of Foreign Affairs, via email, for comment.
Why It Matters
Tariffs are a main focus of Trump's economic and foreign policy—he has already implemented 10 percent tariffs on all imports from China.
Read More on U.S.
He had also announced tariffs against Canada and Mexico, but their implementation was delayed by a month after negotiations with Mexican President Claudia Sheinbaum and Canadian Prime Minister Justin Trudeau.
But Canada and Mexico will be hit the hardest by Trump's Sunday announcement of 25 percent tariffs on all steel and aluminum imports to the U.S.
What To Know
Speaking with reporters on Air Force One, Trump said: "Any steel coming into the United States is going to have a 25 percent tariff."
The U.S. is the world's second-largest steel importer, with 2023 steel imports totaling 25.6 million tons in 2023, according to TradeImex.
Canada accounts for most of this (6.39 million metric tons), followed by Brazil (3.49 million metric tons) and then Mexico (2.85 million metric tons).
Canada is also America's biggest aluminum exporter, providing 3.2 million tons last year, according to Reuters, followed by the United Arab Emirates (347,034 metric tons) and China (222,872 metric tons).
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What Are Tariffs?
Tariffs are taxes on imported goods, typically paid by the importing businesses, which can then pass costs onto consumers through higher prices. The importing business could be any American company that purchases goods from foreign suppliers and brings them into the country for resale, manufacturing, or distribution. Tariffs are often used to protect domestic industries by making foreign goods more expensive and encouraging consumers to buy locally.
What People Are Saying
President Donald Trump last week wrote in a Truth Social post: "Anybody that's against tariffs, including the Fake News Wall Street Journal and hedge funds, is only against them because these people or entities are controlled by China or other foreign or domestic companies. Anybody that loves and believes in the United States of America is in favor of tariffs. They should have never ended in favor of the income tax system in 1913. The response to tariffs has been FANTASTIC!"
Doug Ford, Canadian premier of the province of Ontario, commented on Trump's announcement in a post on X, saying: "This is the next four years. Shifting goalposts and constant chaos, putting our economy at risk. I'm asking the people for a strong, stable, four-year mandate that outlasts the Trump administration to do whatever it takes, to always be ready to protect Ontario."
What Happens Next
Countries' responses to these tariffs are yet to be seen, and so is whether nations are able to negotiate out of them or delays.
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