Food and Beverage Canada on recent action taken by the United States on tariffs

Food and Beverage Canada (FBC-ABC) shares the concerns of the Government of Canada, as well as the business and manufacturing community, on the recent actions taken by the United States in regards to imposing punitive tariffs on imports of steel and aluminium from Canada.

FBC-ABC fully supports the government’s commitment that “Canada will always defend Canadian workers and Canadian interests against protectionist actions that undermine the integrity of the global trading system.”

FBC-ABC is reviewing the notice of intent to impose countermeasures in response to the U.S. trade action that the Government of Canada announced on May 31, 2018 to ensure it does not create undue financial impact on Canadian food and beverage manufacturers as we operate in a highly integrated marketplace with inputs, packaging and other materials being sourced within the North American supply chain.

FBC-ABC continues to support and urges the government of Canada and our North American partners to focus on rules-based trade and regulatory solutions that support business and economic prosperity; specifically the redoubling of efforts to negotiate a modernized NAFTA that is a win-win-win. A strong North American union is good for all workers, businesses and communities.

QUICK FACTS

The food and beverage processing industry is the second largest manufacturing industry in Canada in terms of value of production with shipments worth $112.4 billion in 2016 accounting for 18% of total manufacturing shipments.

The industry’s 6,900 businesses are the largest manufacturing employer providing direct jobs for over 257,000 Canadians, employing more Canadians than the auto and aerospace industries combined.

The industry supplies approximately 70% of all processed food and beverage products in Canada and is the largest buyer of the food Canadian farmers grow. Exports of processed food and beverage products to 192 countries continue to increase and stood at $33.5 billion in 2016, an increase of 7% over 2015; accounting for 29.8% of production value.