U.S.-Canada tariff fight jolts metals stocks, pressures auto supply chains
What's next: Canada's retaliatory tariffs on more than 700 U.S. goods are set to take effect Sept. 8.
The escalating U.S.-Canada trade fight is rippling through metals, manufacturing and markets as companies try to gauge the fallout from new import taxes. The U.S. imposed 50% tariffs on a broad range of Canadian goods, and Canada responded with $20 billion in retaliatory tariffs covering more than 700 U.S. products, with rates ranging from 15% to 50% and a start date of Sept. 8. Steel and materials shares including Nucor, Steel Dynamics, Cleveland-Cliffs and Century Aluminum initially rose after trade talks broke down, but the rally faded by week's end. Analysts say the biggest strain may fall on autos, where parts cross the border multiple times, making the deeply integrated U.S.-Canada supply chain vulnerable on both sides.