Canadian Prime Minister Justin Trudeau: Aluminum Prices Point to Opportunity for a Trade Deal with Trump
August 10, 2026
On Thursday, August 6th, Canadian Prime Minister Mark Carney stated that the tariffs imposed by US President Trump on foreign aluminum products are mostly borne by American buyers, and he pointed out that there is a possibility of reaching a "win-win" trade agreement between the two sides, but this is contingent upon both countries resolving the aluminum industry issues within the broader context of the trade war.
Carney made this statement outside an aluminum plant of Rio Tinto Group in Quebec. Since Trump imposed a 50% tariff on imported aluminum products in June last year, aluminum prices in the US have risen significantly. Data shows that from June 2025 to June 2026, the producer price index for aluminum increased by 52%.
Carney noted that "part of the reason is the increase in international prices, but the main reason is the transmission effect of tariffs, which is not a favorable situation for American enterprises."
The domestic production of primary aluminum in the US is insufficient to meet demand, and it is highly dependent on overseas supply. Last year, Canada accounted for 44% of the total aluminum imports to the US.
Carney stated that Canadian trade officials are using this situation to push for reforms, with the aim of achieving mutual benefits in the aluminum, steel, and automotive sectors. He added that Canada is not interested in narrow agreements that are not linked to other fields.
Last month, Trump announced plans to reduce the aluminum import tariffs for enterprises building, expanding, or renovating aluminum plants in the US to 25%.
Canadian trade officials are currently holding talks with US Trade Representative Jamieson Greer to continue negotiations until the August 19 deadline. Trump threatened that if no progress is made on US trade concerns by that date, new 50% tariffs will be imposed on a series of Canadian goods.
