OTTAWA — Canada is overhauling its steel trade policy to better protect its domestic industry from a flood of cheap imports, especially from China, while exempting the United St

Canada introduced limits on how much foreign steel produced in countries other than the U.S. and Mexico can be imported to help a domestic sector reeling from President Trump’s tariffs.

After long insisting that Canada could avoid Trump tariffs through talks, Mark Carney now says that is unlikely for any nation.

Trump threatened to escalate tariffs beyond 35% if Canada opts to retaliate with tariffs on U.S. goods. Canadian goods are also subject to sector-specific tariffs, such as 50% levies on steel and aluminum as well as 25% tariffs on non-USMCA compliant autos and auto parts.

The Canadian prime minister said it may not be possible to escape U.S. tariffs even with a bilateral agreement to resolve the current tariff row.