February 20, 2025
The Honourable Dominic LeBlanc
Minister of Finance and Intergovernmental Affairs
90 Elgin Street
Ottawa, Ontario K1A 0G5
Minister LeBlanc:
Re: Request for Exclusion of U.S. Aluminum Can Sheet, Cans, and Lids from Canadian Countermeasures
Minister LeBlanc:
As the government considers its response to the U.S. tariffs on Canadian aluminum and steel, set to take effect on March 12, 2025, as well as the ongoing risk of additional trade measures, we write on behalf of the undersigned organizations representing thousands of domestic businesses across the Canadian beverage value chain. We recognize the difficult position the government faces in addressing these trade actions and appreciate your efforts to protect Canada’s economic interests.
In this context, we’re asking the government to minimize the impact of Canada’s countermeasures, including any surtaxes, on the Canadian beverage industry and consumers. Specifically, we request that:
- U.S. aluminum can sheet, cans, and lids under HTS Codes 7606.12 and 7612.90 be excluded from
any Canadian countermeasures. - Alternatively, if an exclusion is not possible, we ask that targeted relief be provided through a
Remission Order, allowing Canadian businesses importing these items from the U.S. to seek relief
from surtaxes.
The North American aluminum can supply chain is deeply integrated. U.S. rolling mills rely on a mix of imported and domestic primary and recycled aluminum to manufacture can sheet, which is then used to produce aluminum cans of various sizes. While Canadian beverage producers prefer to source domestically whenever possible, the reality is that:
- There are no active rolling mills in Canada producing aluminum can sheet.
- Domestic can manufacturers only produce 355ml cans, leaving other sizes, such as the popular
473ml format, unavailable from Canadian sources. - As a result of limited domestic capacity, in 2024, Canadian businesses imported $2.2 billion worth
of can sheet, cans, and lids from the U.S. to meet market demand.
Given the lack of domestic supply alternatives, any Canadian surtaxes on these essential materials would increase costs for businesses and raise prices for consumers, without achieving the intended trade policy objectives.
While we support the Government of Canada’s efforts to respond to the U.S. tariffs on Canadian steel and aluminum, we firmly believe that excluding these HTS codes, or at a minimum, implementing a Remission Order, would not weaken Canada’s response. Instead, it would help maintain price stability for Canadian consumers and control production costs for businesses at a time of economic uncertainty.
We appreciate your leadership in defending Canada’s trade interests and respectfully ask you to consider this request. We are available to discuss this matter further and provide any additional information as needed.
Sincerely,
