Trump signed proclamations late on Monday raising the U.S. tariff rate on aluminum to 25% from his previous 10% rate and eliminating country exceptions and quota deals as well as hundreds of thousands of product-specific tariff exclusions for both metals.

The measures, which will take effect on March 12, will apply to millions of tons of steel and aluminum imports from Canada, Brazil, Mexico, South Korea and other countries - but mostly Canada - that had been entering the U.S. duty free under the carve-outs. 

As noted last night, Canada is by far the most impacted from hike on steel and aluminum tariffs, as the country is by far the largest exporter of the two commodities to the US.

Steel imports accounted for about 23% of American steel consumption in 2023, according to American Iron and Steel Institute data, with Canada, Brazil and Mexico the largest suppliers. Canada, whose abundant hydropower resources aid its metal production, accounted for nearly 80% of U.S. primary aluminum imports in 2024.

Speaking during a visit to Paris on Tuesday, Canada's Prime Minister Justin Trudeau called the tariffs "unacceptable" adding that, if necessary, Canada's response would be firm and clear: Canadians will stand up strongly and firmly if we need to," he said.

Meanwhile Canada's version of Victoria Nuland and Samantha Power combined, Chrystia Freeland, who is also vying for Trudeau's job, warned Trump in no uncertain terms that this aggression toward Canada will not stand.

European Commission President Ursula von der Leyen also condemned the decision, saying the 27-nation bloc would take "firm and proportionate countermeasures".

"I deeply regret the US decision to impose tariffs on European steel and aluminum exports," European Commission President Ursula von der Leyen said in a Tuesday statement. "Unjustified tariffs on the EU will not go unanswered — they will trigger firm and proportionate countermeasures."

Von der Leyen added that tariffs were taxes that were bad for business and worse for consumers. EU steel exports to the U.S. have averaged about 3 billion euros ($3.1 billion) a year over the past decade.

The EU has prepared multiple lists of American goods to hit with retaliatory tariffs if Trump moves forward with levies, modeling various possibilities depending on what the initial US salvo looks like, Bloomberg reported earlier. The bloc could move quickly by re-applying duties it first imposed on the US during Trump's first term.