U.S. President Donald Trump has announced a 25% tariff on aluminum and steel imports, effective March 12, 2025, raising significant concerns within Canada's manufacturing and packaging sectors.

In response, Canada's premiers are visiting Washington, D.C., to lobby U.S. lawmakers and business groups against these tariffs, aiming to protect Canadian products.

Should Canada retaliate with its own tariffs, the financial strain on brewers could worsen, compounding an existing affordability crisis in the industry.

The craft beer sector has already been grappling with challenges such as pandemic-related sales declines and supply chain disruptions, making the potential for additional tariffs particularly concerning.

In light of these developments, Erick Vachon, co-founder of Ideal Can, sees a unique opportunity for domestic production, as his company is the only Canadian food can producer and plans to expand capacity.

Experts argue that a trade conflict is unnecessary and detrimental, suggesting that adversaries like China would benefit from such discord.

Bernd Lange, chairman of the EU Trade Committee, believes that the U.S. and Europe are already in a trade war, anticipating further escalations, including potential tariffs on cars and pharmaceuticals.

Industry groups, such as the Steel Manufacturers' Association, support the tariffs as a means to promote fair trade and protect American manufacturers.

China, while a smaller supplier of steel to the U.S., remains a significant target due to its dominance in global steel production.

Jock Finlayson, chief economist for the Independent Business and Contractors Association, emphasizes the need to stabilize the economy and enhance the domestic business environment following the crisis.

The premiers are advocating for collaborative efforts to strengthen economic ties and mitigate the risks posed by U.S. tariffs, highlighting the importance of maintaining integrated trade relations.

Overall, there is a strong call for cooperation between Canada and the U.S. to restore stability and support fair trade principles amidst rising tensions.