The federal government unveiled $1.5-billion in financing relief<\/strong> on Monday for Canadian manufacturers battered by expanded U.S. tariffs on steel, aluminum and copper \u2014 but the package drew immediate criticism for leaving out the forestry sector and failing to address the tariffs themselves.<\/p>\n<\/p>\n Industry Minister M\u00e9lanie Joly<\/strong> and Digital Innovation Minister Evan Solomon<\/strong> announced the aid package at a dump truck manufacturing facility in Vars, Ont. The funding is split across two streams.<\/p>\n<\/p>\n The BDC loans will range from $2-million to $50-million<\/strong> over three years. The first year carries no interest, followed by low rates in years two and three, with full repayment due at the end of the term.<\/p>\n<\/p>\n “We’re in a trade war. We’re on the front lines, and the goal is to protect workers and actually keep companies afloat,” Joly said at the announcement.<\/p>\n<\/p>\n The announcement follows a significant escalation in U.S. trade policy. On April 6<\/strong>, Washington began applying a 25-per-cent tariff on the full value<\/strong> of imported “derivative” goods \u2014 products made with steel, aluminum or copper, ranging from industrial equipment to household appliances.<\/p>\n<\/p>\n Previously, a 50-per-cent tariff had applied only to the metal content within those products, which typically represents a small fraction of total value. The change dramatically increased the cost burden on Canadian exporters.<\/p>\n<\/p>\n The relief announcement drew swift pushback from opposition politicians and industry voices who argued the measures were inadequate.<\/p>\n<\/p>\n The Conservative Party<\/strong> called the package a “Band-Aid” solution. Conservative industry critic Raquel Dancho<\/strong> said the announcement amounted to an admission that the Carney government has failed to secure a trade deal with the United States \u2014 the central promise of last year’s election campaign.<\/p>\n<\/p>\n B.C. Premier David Eby<\/strong> was particularly pointed in his criticism, noting that the softwood lumber sector \u2014 which he said employs more Canadians than steel and auto parts combined \u2014 was excluded from the relief.<\/p>\n<\/p>\n “I flipped eagerly to find the page on softwood lumber, and unfortunately found that, yet again, softwood lumber has been left off the list as a tariff-affected industry,” Eby told reporters.<\/p>\n<\/p>\n Joly acknowledged the omission, saying Ottawa is in ongoing conversations with the forestry industry about future support. Asked whether U.S. tariffs would ever be lifted, the minister was candid: “I don’t know. These decisions will be taken south of our border.”<\/p>\n<\/p>\n For smaller manufacturers \u2014 particularly those in Western Canada \u2014 there is little confidence the money will filter down to businesses that need it most.<\/p>\n<\/p>\n David Koss<\/strong>, president of Winnipeg-based Hunter Wire<\/strong>, a steel wire products manufacturer, was blunt in his assessment. “All the government bailouts are a complete waste of money,” he said. “Most of that money is going to first-tier, multinational steel producers located in southern Ontario and Quebec that are still laying people off.”<\/p>\n<\/p>\n Koss said companies like his, which are heavily exposed to the April tariff changes, are being left to navigate the fallout largely on their own.<\/p>\n<\/p>\n The Canadian Steel Producers Association<\/strong> welcomed the aid but urged the federal government to go further. The association called on Ottawa to expand and strengthen the 25-per-cent tariff<\/strong> on foreign steel derivative imports \u2014 introduced last November \u2014 boosting it to 50 per cent and broadening the list of covered products.<\/p>\n<\/p>\n “This will offer immediate protection to a wider range of our customers,” said association president and CEO Catherine Cobden<\/strong>.<\/p>\n<\/p>\n Ottawa also called on Canada’s major banks to step up, stating it “expects Canada’s financial institutions to continue to work with businesses as we lean in collectively to support this sector.”<\/p>","protected":false},"excerpt":{"rendered":" Ottawa Announces $1.5-Billion in Loans for Manufacturers Hit by U.S. Metal Tariffs The federal government unveiled $1.5-billion in financing relief on Monday for Canadian manufacturers battered by expanded U.S. tariffs on steel, aluminum and copper \u2014 but the package drew immediate criticism for leaving out the forestry sector and failing to address the tariffs themselves. […]<\/p>\n","protected":false},"author":4,"featured_media":1020,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[50,37],"tags":[],"class_list":{"0":"post-1021","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"category-news"},"yoast_head":"\nWhat Ottawa Is Offering<\/h2>\n<\/p>\n
What Triggered the Move<\/h2>\n<\/p>\n
Critics Say the Package Falls Short<\/h2>\n<\/p>\n
Smaller Firms Skeptical Aid Will Reach Them<\/h2>\n<\/p>\n
Steel Industry Calls for Stronger Import Protections<\/h2>\n<\/p>\n