The mayor of Hamilton, Onton, said that people in her city are very concerned about the possible effects of the recent tariff on the steel and aluminum announced by US President Donald Trump.
““People are very concerned,” said Andrea Horawat, during his appearance on Global News Morning.
On Monday, Trump imposed a 25 percent tariff on all steel and aluminum imports in the United States, including those in Canada, which is scheduled to enter in March.
In addition, the US President also announced a 25 percent tariff for all Canadian products, and on Tuesday a US official said he would be associated with a tariff of steel and aluminum.
“Fraser Johnson, business professor at Western University, said.
“I think Canada will be affected by an inconsistent manner that is happening because 23 percent of US steel imports come from Canada.”
Horwath estimates that there are between 20,000 to 25,000 people working in the industry in Hamilton.
“So we have a lot of people who rely on these jobs, and many families fed by those jobs,” the mayor said.
Collin Mang also noted at McMaster University that there are effects on the local economy when there are discounts in the steel industry.
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“There is an indirect economic benefit because all of these workers are also shopping in local stores and in local restaurants,” the economist pointed out. “The wages of the steel industry support a wider economy of 100,000 jobs.”
Horwhat said that, based on the long -term definitions, Hamilton can stand to know about a billion dollars that disappear from the local economy.
“This is something you cannot understand. It will be very dangerous.”
While Hamilton may feel a pour, it has a more diverse economy than some other areas in Canada, such as SAULT Ste. Mary, Ont. Selkirk, a man.
“Some of these other cities that host steel factories, which are one of their only big institutions, will become a really great success,” said Mang. Celicrik in Manitoba, for example, sends 70 percent of the steel they make to the United States.
And if they lose access to this market, well, their steel mill is not really viable economically.“
Horoth noted that there is not much response that municipal governments can provide in situations. She is looking for the federal government to announce its plans.
“We certainly have a strong and clear response that we will only take this,” said Huroath.
This is not the first time that Trump fell this path, after the customs duties imposed on Canadian imports in 2018 and also in 2020.
The first round of definitions remained valid for a year and resulted in some functional losses in Hamilton.
“There was a lot of workers’ demobilization. “The companies were able to eventually return on their feet, but it took several years.”
Wang pointed out that when Trump imposed customs duties in the past, Canada responded to tariffs against the Republican countries and perhaps this will happen again.
“Therefore, for example, after eating Florida Orange juice there, they want to choose specific products and specific industries where they can cost American companies revenues,” McMaster assistant professor.
Thus, these companies will go to their Republican representatives and say enough. We do not want to have a trade war with Canada.“
Either way, Trump’s tariff is expected to rise to consumer prices on both sides of the border, including its own components.
“You cannot pick up your fingers and increase your ability to manufacture steel by 25 or 30 percent,” Johnson explained.
“So I think what will end up is that American manufacturers will have to pay higher steel prices. This will increase consumer prices.”
He used the auto industry as an example because it is one of the largest steel consumers in North America.
“Johnson said: “Some of the estimates I have seen are that steel tariffs can add $ 1,000 to the price of a local productive car,” Johnson said.
Along similar lines, Wang indicated that Trump’s tariff would reach the ordinary American pocket book.
He said: “Some of the estimates they follow when the first time announced 25 percent (tariff) on a large scale through Canadian goods, that it will increase the cost of American families by between 1100 and 1500 dollars a year.”
“This is a lot of money that families will need to spend on things like grocery bills.”
