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So why all of a sudden is Canada applying tariffs to Chinese steel if it was never a problem? https://www.cnbc.com/2018/06/26/canada-braces-for-diverted-steel-
by hourislate 8y ago
So why all of a sudden is Canada applying tariffs to Chinese steel if it was never a problem?
https://www.cnbc.com/2018/06/26/canada-braces-for-diverted-steel-imports.html https://www.cnbc.com/2018/06/26/canada-braces-for-diverted-s...
I'm not an insider but I certainly know enough people in the industry and understand cross-border trade shenanigans.
- allengeorge 8y agoBecause the US applying tariffs has removed avenues for Chinese steel entering the US. That steel can be diverted to other markets (for example, Europe or Canada) and thus flood those markets as well, crashing the price there. There is no mystery here. Europe did the same thing when the US applied their tariffs. They know the flow is going to go somewhere, and they don't want it to be dumped on their markets either.
- hourislate 8y ago>Because the US applying tariffs has removed avenues for Chinese steel entering the US. So you are agreeing that Canada is dumping steel into the USA. Thanks...
- allengeorge 8y agoNo. I said that it removed avenues for Chinese steel. Chinese steel is imported directly to the US too. It accounts for 2% of US imports. Please read above referenced documents.
- slededit 8y agoBecause now that steel from around the world can't easily enter the USA it will be looking for somewhere to go. The Trump tarrifs have massively destabilized prices.