Tariffs would be fatal for fleets hauling steel, CTA warns
The Canadian Trucking Alliance (CTA) said that the impact of the incoming U.S. tariffs on steel and aluminum would be “fatal” on fleets that move these products.
U.S. President Donald Trump recently issued an executive order stating that a 25% tariff would be applied on March 12.
Prime Minister Justin Trudeau said that he will be working with international partners and friends “and if it comes to that, our response, of course, will be firm and clear.”
Both the Canadian Steel Producers Association (CSPA) and the Aluminum Association of Canada (AAC) are sounding the alarm on this issue, indicating that the long-term ramification would be devastating if these tariffs are applied. One of the associations has also publicly discussed the potential need for short-term government aid to get companies through the potential crisis.
“Canada’s trucking industry plays a critical role in the movement of steel and aluminum products, and the impact on many of these fleets would be fatal,” CTA president Stephen Laskowski said in a news release.
“While it is unclear what assistance the trucking industry can provide in addressing the security concerns outlined in the presidential order, CTA stands ready to support CPSA and AAC in developing a plan to avoid these tariffs.”
Relief packages or stimulus measures
CTA and its provincial association members would welcome a discussion with all levels of government to discuss the potential development of relief packages or stimulus measures for the steel and aluminum supply chain, the release added.
“This was already the worst freight market in 40 years for many trucking fleets, compounded by an out-of-control underground economy which is driving compliant companies out of the sector,” Laskowski said. “Economic relief packages for the steel and aluminum supply chain must include the compliant trucking industry; and, unlike the relief provided during Covid, it must not include non-compliant companies that take part in the underground economy.”
Canada’s monthly trade values with the United States in finished iron or steel products total about $11 billion per month with close to 75% of this trade moving by the trucking industry. Trucking also moves about 30% of the $600 million monthly trade in the aluminum and alloy sector, CTA said.
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Maybe a place to start would be more active enforcement of existing laws regarding narcotics smuggling by truck, more effort into significant and timely trial and conviction of narcotics smuggling truckers, and sentencing that is a true punishment and deterrence to truckers who smuggle narcotics. The current system, effort, and results are inadequate, and that is obvious, especially to our southern neighbours.
Well.
Until we get the real answer it would be necessary to elaborate a plan (B}. For us truckers who are hauling either steel or aluminum, it would be most appropriate to keep a sharp eye on the market and limit expenses.
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That is why some gov help is needed with help with insurance and the cost of plates with limited amounts. I do not want to see good smell trucking companies go out of business
The fed gov should provide a interest free loan of $25000 per power unit parked to Max of $1 million per company . Should get M B Sask and B C to provide the insurance with the fed gov paying half the cost for the first 9 units per company that agree to use that insurance and no longer buses driver inc. The gov should provide training for up to 10 000 drivers to trained as mechanics or skills for a Red seal trade with the drivers getting $800 per week while in the classroom and the first 4 weeks of on the training to a Max of $20 000 per driver if P R or Canadian or came in as a high wage stream foreign truck driver