Canada introduces 25% tariff on steel derivative products – CEA assessing impact on construction equipment
The Canadian Government has published the official list of steel derivative products that will be subject to a 25 per cent global tariff, effective 26 December 2025.
The full list, including HS codes and product descriptions, is available here:
https://www.canada.ca/en/department-finance/news/2025/12/list-of-steel-derivative-products-subject-to-25-per-cent-tariffs-effective-december-26-2025.html
Following further review of the detailed classifications, it is now clear that construction equipment and related components are likely to be affected, with specific machine types referenced within the list.
The CEA (Construction Equipment Association) is undertaking detailed analysis to understand how the tariff classifications may be applied in practice and which UK manufacturers and suppliers exporting to Canada could be impacted. This work is being carried out in close engagement with the Department for Business and Trade (DBT) and is informed by industry input.
The measures form part of a wider package announced by the Canadian Government to protect its domestic steel industry, alongside changes to tariff rate quotas for steel imports, which also take effect from 26 December 2025.
Further detail is set out in the Government’s announcement here:
https://www.canada.ca/en/department-finance/news/2025/12/government-implements-new-measures-to-protect-canadas-steel-industry.html
Viki Bell, CEO, CEA (Construction Equipment Association) commented:
“Now that the detailed tariff list has been reviewed, it is clear that construction equipment does fall within scope, with certain machine types already identifiable. We are working closely with the Department for Business and Trade to assess how these measures may affect UK manufacturers and to understand how the classifications will be applied. We will continue to engage with members as this work progresses, so that any concerns can be clearly identified and raised.”
Members exporting to Canada, or supplying products that may fall within the listed HS codes, are encouraged to contact the CEA to share any initial concerns or examples, which will help inform ongoing discussions with Government.
