Update on Trade War with US

Hello Fenestration Canada members,

I wanted to provide our members with an update on the trade situation as soon as possible.

April 2nd, President Trump and the white house announced that goods aligned with the CUSMA agreement will be exempt from additional tariffs. This will come as a relief for many of you who are shipping products to the US for sale as our industry's supply and completed products, except for steel and aluminum which is affected by the tariffs put into place in early March, are exempt. As of midnight April 3rd, an additional 25% on the automotive industry was put into place.

On April 3rd, Prime Minister Carney announced that Canada would retaliate to the auto tariffs put into place by matching the US's applied tariffs on automobiles and non-CUSMA-exempt goods. For the time being, that means the counter-tariffs that could have impacted our industry have not been implemented, again except for aluminum and steel products.

This is very positive news for our industry, as the risks faced by our manufacturers and suppliers were clearly heard and felt over the last month. This, for now, gives us a chance to plan without the imminent threat of tariffs. As an update to our previous message, we had a conversation with the Director of the Department of Finance, who acknowledged the severity of the problem and agreed that it aligns with the type of goods deserving removal from the counter-tariff list. Additionally, the Department of Housing, Infrastructure, and Communities has acknowledged our letter and flagged our concerns as an issue for their team to address.

Although this does provide our industry a reprieve from the uncertainty of the Trade conflict the Trump administration has started, Fenestration Canada will continue to monitor and support our members by continuing to pursue support that will ensure we are less vulnerable if the trade environment shifts unfavourably for us.

I'm deeply appreciative to all of our members who have participated in this process. Whether it was reaching out to me directly and providing critical information or for those that reached out to your local MPs to provide your voice. I'm already seeing the effects of your outreach and I look forward to providing updates on how that outreach is going to help shape the next few years.

Thank you all,

Adrian Edge

Director - Codes and Regulatory Affairs