The Globe and Mail reports in its Friday edition that Donald Trump's proposed 50-per-cent tariff on all copper entering the United States will, like many of his other duties, disproportionately hit Canada. The Globe's Jason Kirby writes that this country is America's second-largest source of imported copper after Chile. But as with Mr. Trump's earlier tariffs on steel and aluminum, the new copper tax, which he said would kick in Aug. 1, will fall heaviest on Central Canada and especially Quebec, wrote BMO senior economist Robert Kavcic. "Regionally, Quebec remains in the crosshairs, accounting for most of Canada's U.S. copper shipments," he said in a note. "That would leave combined metal exports exposed to high tariffs north of 3 per cent of GDP, or twice the next closest province." The spike in prices since Mr. Trump's tariff announcement will hit the bottom lines of a large number of industries. The impact of the tariff on jobs in Quebec, home to Canada's sole copper smelting facility and a major copper refinery, is still unclear. While it will take the U.S. years to build up its own copper mining, smelting and refining capacity, higher prices could put Quebec's copper industry at a disadvantage to cheaper rivals.
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