More Countries May Be Exempted From Steel And Aluminum Tariffs

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"We recognize that the American side is eager to get motion forward on NAFTA", he said.

Reacting to Trump's urge, Trudeau told CNN that Canada is glad to see the United States is eager to seal the deal.

What he heard directly from the president echoed public remarks from Trump's administration: the US trade czar recently said he wants a new NAFTA concluded within weeks, because of upcoming elections in the different countries.

"(We're) highlighting that the imposition of tariffs on Canada would end up hurting the USA nearly as much as it would hurt Canada". Mexico is also a member nation of the trade deal. Trump backed off the threat last week, but indicated he could still link any potential tariffs, which could be as high as 25 per cent on Canadian steel and 10 per cent on aluminum, to renegotiating a better deal under the North American Free Trade Agreement with Canada.

For more than two years, US President Trump criticised the agreement and also hinted to take some serious steps being in the administration or at least send some ultimatums.

It was their first conversation since Trump last week imposed tariffs on imported steel and aluminum, raising trade tensions.

Trump may want to prop up the aluminum industry, for example, but to make it requires bauxite, a material that has become too expensive to mine in the United States, The Wall Street Journal reported recently.

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Trudeau told another USA network that he sees them as separate issues: "We don't link together the tariffs and the negotiations with NAFTA", he told CNBC in an interview from a Quebec aluminum plant Monday.

"The exemptions aren't a magical favour that was being done", Trudeau later said in an interview with US television's CNBC.

In seeking to win a respite from the tariffs, American allies tried a mix of persuasion, threats, personal appeals, and diplomatic leverage. Canadian steel is in your tanks.

Steel Minister Chaudhary Birender Singh said the USA tariff on steel could disrupt India's efforts to become a major steel exporter, Reuters reported. Since most tariffs are already low, affected countries are allowed to impose their own tariffs on U.S. goods and services but only for three years.

The prime minister is on a cross-country tour of aluminum and steel factories to demonstrate his government's support for workers in light of potential threats to those industries from the USA administration.

Azevedo said Brazil was "exploring alternatives" for responding to the tariffs.

As the United States tries to light a fire under NAFTA negotiations, Canadian Foreign Affairs Minister Chrystia Freeland says Canada will not be bullied or pressured by the United States as part of those talks.