U.S. President Donald Trump’s trade war against Canada is triggering high anxiety and miscommunication in Quebec.
The Syndicat des Métallos FTQ union put out a news release early Tuesday saying that Brazil’s Alubar Metal would close its factory in Bécancour, Que. following the implementation of U.S. import tariffs on Canadian products.
Just three hours later, the union provided an update saying it was told by the company, a maker of aluminum electrical cables, that the closure was only temporary and that the plant would reopen Wednesday. It called the company’s revision a warning shot and said it expected things could still change.
“This morning we’re the first to get a punch to the face and we need help,” union local president Jessy Trottier said in the statement early Tuesday. She represents 70 workers at the plant.
Alubar executives did not respond to questions about their intentions from The Globe and Mail. An official with the corporation that runs Bécancour’s industrial park said they were also waiting for more information.
Live updates: U.S. tariffs on Canada, Mexico and China take effect, triggering trade war
President Trump on Tuesday launched the first of what his administration has said would be several trade volleys against Canada, imposing a 25 per cent tariff on most Canadian goods and a 10 per cent tariff on energy and critical minerals. The levies would come on top of separate 25 per cent import tariffs on steel and aluminum that Mr. Trump has said would be implemented next week.
Metals and manufacturing companies in Ontario and Quebec stand to be hit hard by the tariffs, including Ontario’s auto sector and Quebec’s aluminum industry. Premier François Legault said Monday his government has increased its upper estimates on potential job losses to 160,000 from 100,000 previously.
Mr. Legault is scheduled to hold a news conference Tuesday afternoon to outline his government’s response against the U.S. tariffs. The Canadian government has the biggest levers to pull on trade but provinces are preparing their own actions and financial assistance for businesses and workers.
The premier has proposed Canada adopt its own public procurement policies inspired by the U.S.’s “Buy American Act” in a bid to penalize American companies bidding on public contracts and vowed that Quebec could implement similar measures. He said restricting Hydro-Québec power exports to the United States is also an option.
“There’s no more room for magical thinking,” Métallos union Quebec director Dominic Lemieux said in the statement. “The storm has started and we need our governments to protect workers.”
Alubar is the largest manufacturer of aluminum electrical cables in Latin America and is based in Barcarena, according to the company’s website. Its products are found in key projects and ventures throughout the Brazilian power industry.
In Quebec, it makes aluminum rods from molten metal that comes from Alcoa’s neighbouring ABI smelter, according to Métallos. Alubar’s Bécancour production is almost entirely shipped to the United States, the union said.