QSA's Week in Manufacturing (#25, 2025)

Canada sets new steel import TRQs; Bill C-5 receives Royal Assent; PET resin dumping investigations proceed; Alberta advanced manufacturing investments detailed; US antidumping, CVD orders on solar cells, steel rod, polyester yarn extended.

QSA's Week in Manufacturing (#25, 2025)

Good morning! This is Queen Street Analytics' weekly roundup of regulatory developments, legislative discussions, political announcements and other government-related news concerning manufacturing, e.g. textile and apparel, chemical, electronics, wood and paper, metals, plastics and rubber, packaging, and machining. Every Monday, we break down the most important updates in this space in under five minutes.


Dates: 2025-06-22 to 2025-06-28

đź“‹ In This Week's Newsletter

• 🇨🇦 Canadian Federal GR News
• 🇺🇸 US Federal GR News
• 🗺️ Canadian Provincial GR News
• 💬 Government Consultations
• 📱 Public Officials' Social Media
• 📚 What We're Reading This Week


Canadian Federal GR News

Canada Implements Tariff Rate Quotas on Steel Imports from Non-FTA Countries

The Department of Finance established new tariff rate quotas (TRQs) for imports of steel mill products from non-free trade agreement partners, now set at 2.6 million tonnes, effective June 27, 2025. A 50% surtax applies to imports exceeding 2024 levels, aiming to manage the risk of trade diversion from US-bound steel and to stabilize the domestic market. These quotas are additive to existing surtaxes and anti-dumping or countervailing duties. The measure follows spring consultations with industry and will be reviewed in 30 days. An industry-government steel task force convened for the first time on June 26 and will support ongoing evaluations. The government indicated readiness to adjust measures in response to ongoing US tariff developments.

Sources: Announcements: www.canada.ca

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Canada's manufacturing sector dipped 1.9 per cent in April 

Canada's economy shrank by 0.1 per cent on a monthly basis in April, Statistics Canada said on Friday, with the data agency's advance estimate for May showing a similar decline in activity. The manufacturing sector alone dipped 1.9 per cent â€” the steepest drop since April 2021, per Statistics Canada — driving a decline among goods-producing industries.

Sources: News

Finance Canada Provides Industry with Steel and Aluminum Trade Actions Update

Deputy Minister Chris Forbes briefed stakeholders on June 23 regarding Canada’s response to US tariffs, citing negotiations following the G7 Summit and recent policy updates. Adjustments to counter-tariffs on steel and aluminum products are scheduled for July 21, pending progress in US-Canada trade negotiations. Access to federal procurements will be restricted to suppliers from reciprocal trading partners, with new TRQs to prevent trade diversion.

Sources: Announcements: www.canada.ca

Bill C-5: One Canadian Economy Act Receives Royal Assent, Bringing National Project Review and Trade Changes

The One Canadian Economy Act, enacted June 26, launches the Building Canada Act and Free Trade and Labour Mobility in Canada Act. Consultations with provinces, territories, and Indigenous rights-holders will identify national interest projects, with criteria including security, economic benefits, and clean growth. The act aims to limit federal review of major projects to two years, shift reviews to a 'how, not whether' focus, and support a 'one project, one review' approach by coordinating regulatory processes with provinces and territories.

Sources: Announcements: www.canada.ca

PrairiesCan Directs Over $10.9 Million to Alberta Manufacturing, AI, and Advanced Technology Initiatives

Prairies Economic Development Canada announced investments for seven projects in Alberta as part of the Business Scale-up and Productivity program, the Regional Artificial Intelligence Initiative, and the Regional Homebuilding Innovation Initiative. Manufacturing sector recipients include RAM Elevators + Lifts ($1.99M) to expand elevator/lift production and Crust Craft ($2.04M) for automated baking lines. The AI initiative is supporting adoption and commercialization in agri-food and manufacturing, with investments for Canadian Agri-Food Automation and Intelligence Network and Phoenix Farms, among others. Promise Robotics will establish a robotics-driven homebuilding plant with $2.5M in funding, supporting modular and 3D-printed construction.

Sources: Announcements: www.canada.ca

Toronto Region Board of Trade Launches $2.4M AI Business Catalyst Program

On June 26, the Federal Economic Development Agency for Southern Ontario announced support for the Toronto Region Board of Trade’s AI Business Catalyst program, including $2.4 million to advance the adoption of AI technologies among 75 businesses and 460 participants. The program will provide tools for SMEs to implement AI solutions, supporting productivity and competitiveness across multiple sectors, including advanced manufacturing.

Sources: Announcements: www.canada.ca

Preliminary Anti-Dumping Measures on Polyethylene Terephthalate (PET) Resin Imports from China and Pakistan

On June 17, 2025, the Canada Border Services Agency determined preliminary dumping of PET resin from China and Pakistan and subsidizing by China, placing provisional duties on subject goods. These duties, covering tariff items 3907.61.00.00 and related codes, remain until a final injury ruling by the Canadian International Trade Tribunal (CITT), or the investigations are terminated, or undertakings are accepted. Failure to pay duties can result in interest charges.

Sources: Gazette, Part I: www.gazette.gc.ca

Canadian International Trade Tribunal Initiates Inquiry on Dumped PET Resin Imports

The CITT commenced an inquiry on June 17 into the dumping of PET resin from China and Pakistan, following CBSA’s findings. The inquiry will assess whether the measures are required and the extent of injury or threat to Canadian producers. Interested parties must file notices by July 2, 2025. Hearings are scheduled for September 15, 2025.

Sources: Gazette, Part I: www.gazette.gc.ca

CITT Finds Reasonable Indication of Injury from Dumped Carbon or Alloy Steel Wire

On June 19, 2025, the CITT determined there is evidence supporting reasonable indication of injury from dumped carbon or alloy steel wire from several countries, including China, Taiwan, India, Italy, Malaysia, Portugal, Spain, Thailand, Turkey, and Vietnam. The full details will be included in the Tribunal’s public decision.

Sources: Gazette, Part I: www.gazette.gc.ca

Ministerial Condition Issued for Import/Manufacture of Fluorinated 1-hexene Under CEPA 1999

The Department of Environment has issued a ministerial condition permitting the manufacture or import of 1-hexene, 3,3,4,4,5,5,6,6,6-nonafluoro-, subject to detailed pre-notification, assessment, and information requirements under the Canadian Environmental Protection Act, 1999, due to potential toxicity or risk.

Sources: Gazette, Part I: www.gazette.gc.ca

Statistics Canada Data: Manufacturing Sector Sales and GDP Declines, Energy Output Up in April–May

Advanced results indicate total Canadian manufacturing sales declined by 1.3% in May, with petroleum, coal products, transportation equipment, and food as the primary contributors. April’s real GDP contracted by 0.1%, mainly due to downturns in manufacturing and wholesale trade. However, primary energy production climbed 3.5% year-on-year in April, led by refined petroleum products, which posted a 6.6% secondary energy increase.

Sources: Open Government Data Set: www.statcan.gc.ca, Open Government Data Set: www.statcan.gc.ca, Open Government Data Set: www.statcan.gc.ca

Health Canada Announces Consultation on Enhanced Controls for Precursor Chemicals

Health Canada has opened a 45-day public consultation on proposed regulations concerning precursor chemicals and drug-manufacturing equipment, such as pill presses. The proposed rules are designed to support law enforcement efforts against illegal fentanyl production while considering impacts on legitimate regulated industries. The consultation runs until August 12, 2025.

Sources: Announcements: www.canada.ca

US Federal GR News

US Finalizes Antidumping and Countervailing Duty Orders on Crystalline Silicon Photovoltaic Cells from Southeast Asia

The US Department of Commerce imposed final antidumping and countervailing duty (CVD) orders on crystalline silicon photovoltaic cells (solar cells) from Cambodia, Malaysia, Thailand, and Vietnam, effective June 24, 2025. These orders, triggered by International Trade Commission findings of material injury or threat to US industry, introduce varying cash deposit rates.

Sources: U.S. Federal Announcements: www.federalregister.gov, U.S. Federal Announcements: www.federalregister.gov

Commerce Department Extends Antidumping and Countervailing Duty Orders on Carbon and Alloy Steel Threaded Rod

As of June 20, 2025, the Department of Commerce, with confirmation from the ITC, is extending both antidumping and countervailing duty orders on carbon and alloy steel threaded rod imports from India, Taiwan, Thailand, and China. US Customs will continue to collect cash deposits under these orders. The ITC determined that revocation would likely result in the recurrence of dumping and material injury.

Sources: U.S. Federal Announcements: www.federalregister.gov

EPA Seeks Comment on Information Collection for Refractory Products NESHAP

The EPA is requesting public input (by July 28, 2025) regarding its submission to the Office of Management and Budget to renew information collection under the National Emission Standards for Hazardous Air Pollutants pertaining to refractory products manufacturing.

Sources: U.S. Federal Announcements: www.federalregister.gov

Initiation of Annual Administrative Reviews for Multiple Antidumping and CVD Orders

The US Department of Commerce has initiated administrative reviews of multiple antidumping (AD) and countervailing duty (CVD) orders with anniversary dates in May 2025. The notice details respondent selection, eligibility for separate rates, certification processes, and deadlines for submission of new factual information or withdrawal of requests for review. Deadlines and procedures vary by product and country, including commodities relevant to the manufacturing supply chain, such as steel plate, aluminum extrusions, and certain chemicals.

Sources: U.S. Federal Announcements: www.federalregister.gov

Polyester Textured Yarn Orders from China and India Remain in Effect

Effective June 24, 2025, the US Department of Commerce and the ITC have continued existing antidumping and countervailing duty orders on polyester textured yarn from China and India following five-year reviews. Imports will continue to be subject to AD/CVD cash deposits at prevailing rates. The affected products include synthetic multifilament yarns, except specified bulk continuous filaments.

Sources: U.S. Federal Announcements: www.federalregister.gov

Canadian Provincial GR News

Ontario Announces $70 Million Investment for Small Modular Reactor Engineering Centre

Ontario secured a $70 million investment from GE Vernova Hitachi Nuclear Energy to build the world’s first SMR engineering and service centre in Durham Region, supporting new jobs and workforce training in nuclear innovation.

Sources: Provincial Announcement: news.ontario.ca

Alberta Food Manufacturer Penalized for Workplace Fatality

Sofina Foods Inc. was ordered to pay $330,000 to the Alberta Food Processors Association for a safety training program after pleading guilty in relation to a worker's death during a 2023 incident in Edmonton.

Sources: Provincial Announcement: www.alberta.ca

Ontario Supports Hilton Foods' $192 Million Brantford Plant

Ontario is providing $1.5 million from its development fund to support Hilton Foods Canada’s new $192 million processing facility in Brantford, expected to create 150 new jobs in the province's food supply chain.

Sources: Provincial Announcement: news.ontario.ca

BC Approves Highland Valley Copper Mine Extension

British Columbia granted final permits for the Highland Valley Copper Mine Life Extension project, allowing operations to continue into the mid-2040s and expand production capacity and jobs.

Sources: Provincial Announcement: news.gov.bc.ca

Ontario Manufacturer Fined $75,000 Following Injury

Aarkel Tool and Die Inc. of Wallaceburg, Ontario, was fined $75,000 after a critical workplace injury occurred in 2022 due to inadequate instruction and supervision regarding heavy equipment handling.

Sources: Provincial Announcement: news.ontario.ca

Government Consultations

Proposed Coal Mining Effluent Regulations Consultation Launched

Environment and Climate Change Canada launched a consultation period for proposed Coal Mining Effluent Regulations, which will set new national baseline effluent standards and environmental monitoring provisions for coal mines in several provinces.

Sources: Canadian Government Consultations: www.canada.ca

Public Officials' Social Media

Senator Leo Housakos posted that Canadian steel jobs are being negatively affected by 50% tariffs on Canadian steel, and expressed concern over the adequacy of the federal government's response.

Sources: Social Media: x.com

MP Tim Hodgson shared that the G7's new Critical Minerals Action Plan positions Canada as an ethical supplier with opportunities across the value chain following the passage of the One Canadian Economy Act.

Sources: Social Media: x.com

Senator Marc Gold tweeted that Bill C-5, which addresses interprovincial trade barriers and labour mobility, was passed in the Senate and is awaiting Royal Assent.

Sources: Social Media: x.com

MP Michael Guglielmin participated in a federal roundtable with industry leaders in Vaughan, listening to discussions on reducing red tape and advancing Canada’s AI and manufacturing sectors.

Sources: Social Media: x.com

MP David J. McGuinty posted about Canada signing NATO’s Defence Critical Raw Materials agreement, noting the exploration of new industrial opportunities from Canada’s mineral reserves.

Sources: Social Media: x.com

What We're Reading This Week