QSA's Week in Manufacturing (#28, 2025)

Canada implements reciprocal procurement rules; CITT opens inquiry into Chinese cast iron soil pipe dumping; Competition Bureau mandates oilfield divestiture; New Canada-EU industrial policy dialogue; Federal investment targets B.C. export readiness; US grants regulatory relief for chemical and i...

QSA's Week in Manufacturing (#28, 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.

Want to track the upstream and downstream forces affecting Manufacturing? Don’t miss this week’s updates in Mining and Oil & Gas.

Dates: 2025-07-13 to 2025-07-19

📋 In This Week's Newsletter

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


Canadian Federal GR News

Canada Implements Interim Reciprocal Procurement Policy Amid US Talks

The Honourable Joël Lightbound, Minister of Government Transformation, Public Works and Procurement, announced on July 14, 2025, the implementation of a new Interim Policy on Reciprocal Procurement. The policy allows the federal government to limit federal contract bidding for suppliers from countries that do not grant Canadian companies reciprocal procurement access, prioritizing Canadian and reliable trading partners. Phase 1, effective immediately, is being introduced with training and support tools, focusing on supplier location. Phase 2 will, at a later date, consider the origin of goods and services. This policy comes as Canada negotiates a new partnership with the US and is closely tied to efforts to boost use of Canadian steel and aluminum in federally funded projects. All federal departments and agencies are subject to the new rules.

Sources: Announcements: www.canada.ca
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Trade Tribunal Initiates Inquiry on Cast Iron Soil Pipe Dumping from China

The Canadian International Trade Tribunal (CITT) has begun a preliminary injury inquiry into complaints by Canada Pipe Company ULC regarding the dumping and subsidizing of cast iron soil pipe from China. Initiated under the Special Import Measures Act (SIMA), the investigation began following the Canada Border Services Agency's July 11, 2025, decision to investigate. The CITT will decide by September 9, 2025, whether there is a reasonable indication of injury. If the complaint proceeds, the CBSA will make preliminary determinations by September 24, 2025, followed by further CITT proceedings. Interested parties may submit written submissions to CBSA by November 17, 2025.

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

Competition Bureau Secures Divestiture in Oilfield Services Merger

On July 16, 2025, the Competition Bureau announced a consent agreement with Schlumberger Limited relating to its planned acquisition of ChampionX Corporation. The Bureau's review found the deal would likely reduce competition, innovation, and access for polycrystalline diamond (PCD) cutters, PCD bearings, and quartz transducers—key components for Canadian oil and gas drilling. Schlumberger has agreed to sell US Synthetic, a ChampionX subsidiary manufacturing PCD products, and to license intellectual property from Quartzdyne (another ChampionX business) to resolve competition concerns. The agreement is published on the Competition Tribunal's website.

Sources: Announcements: www.canada.ca

CITT Continues Anti-Dumping Duties on Structural Tubing from South Korea and Türkiye

The Canadian International Trade Tribunal has continued its order, originally issued in October 2019, imposing anti-dumping duties on structural tubing imports from South Korea and Türkiye. The July 16, 2025, determination found that ending the order would likely cause injury to Canadian industry. Duties remain in place, with compliance and monitoring by the Canada Border Services Agency.

Sources: Announcements: www.canada.ca

Canada and European Union Launch Industrial Policy Dialogue

Canada's Minister of Industry, Mélanie Joly, and the European Commission’s EVP for Prosperity and Industrial Strategy, Stéphane Séjourné, have initiated a new industrial policy partnership. Meetings held on July 11 and the preceding summit in Brussels outlined cooperative work on economic diplomacy, innovation, and industrial resilience. A joint work plan will be developed in the coming weeks to address mutual priorities related to job creation, trans-Atlantic trade, and industrial policy.

Sources: Announcements: www.canada.ca

Critical Minerals: Federal–NWT Partnership Launches AI-Based Core Scanning Initiative

Natural Resources Canada, in collaboration with the Government of the Northwest Territories, has announced a geoscience project applying artificial intelligence and digital scanning to historic drill core samples from the Slave Geological Province. The initiative will use advanced technology to digitize and analyze core samples, making data available via a centralized digital platform and targeting potential critical minerals, including lithium, copper, cobalt, and rare earths. This pilot supports ongoing efforts to attract mineral exploration investment and lays groundwork for a future Canadian Digital Core Library.

Sources: Announcements: www.canada.ca

CITT: Preliminary Injury Finding on Steel Strapping from Asia

On July 10, 2025, the Canadian International Trade Tribunal determined that there is reasonable indication that dumping of steel strapping from China, South Korea, Türkiye, and Vietnam, and subsidizing from China, is threatening domestic industry. The full description of the relevant products and exclusions is provided in the Tribunal’s official determination.

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

CBSA Extends Preliminary Phase for Investigation on Carbon and Alloy Steel Wire

The Canada Border Services Agency has extended the preliminary phase of its investigation into dumping of certain carbon and alloy steel wire imported from China, Taiwan, India, Italy, Malaysia, Portugal, Spain, Thailand, Türkiye, and Vietnam. The preliminary phase, commencing July 7, 2025, has been prolonged to 135 days due to the complexity and volume of evidence, with a preliminary determination expected by September 4, 2025.

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

Plan of Priorities under Canadian Environmental Protection Act Published

Environment and Climate Change Canada and Health Canada released an updated Plan of Priorities under the Canadian Environmental Protection Act, 1999 (CEPA) on July 19, 2025. The plan includes forthcoming regulations and permitting regimes for managing and phasing out certain toxic substances, with new rules on disclosure and geographically targeted pollution controls. The document outlines government priorities for chemical management, risk assessment, stakeholder engagement, and monitoring via the National Pollutant Release Inventory. Substances meeting criteria for persistence, bioaccumulation, carcinogenicity, mutagenicity, and reproductive toxicity are subject to new regulatory action.

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

Finance Canada Announces Support for Canadian Steel Sector

Finance Canada published notice of support measures for the Canadian steel sector on July 16, 2025. Though additional details were not made public, the announcement signals federal attention on reinforcing steel manufacturing capacities and trade action oversight.

Sources: Announcements: www.canada.ca

Federal Investment to Bolster Export Readiness for B.C. Businesses

Pacific Economic Development Canada (PacifiCan) announced $2.5 million in new investments on July 16, 2025, to increase export capabilities in British Columbia’s manufacturing, tech, and tourism sectors. The program extends Export Navigator and includes the launch of the CUSMA Compliance Advisory Services Initiative, offering advisory services and subsidized compliance cost support. The Greater Vancouver Board of Trade will conduct webinars and in-person workshops to support CUSMA compliance for B.C. businesses.

Sources: Announcements: www.canada.ca, Announcements: www.canada.ca

US Federal GR News

White House Grants Regulatory Relief for Chemical Manufacturing Sector

On July 17, 2025, President Donald J. Trump issued a two-year exemption from certain requirements of the Environmental Protection Agency’s HON Rule for stationary sources in the chemical manufacturing sector. The measure is intended to address concerns about technological feasibility and cost pressures caused by the original May 2024 HON Rule, which imposed more stringent emissions controls under the Clean Air Act. The exemption is stated to maintain critical chemical manufacturing operations—including facilities run by Shell, Dow, BASF, and Formosa Plastics—by allowing them to operate under pre-existing emissions standards during the exemption period.

Sources: White House Announcements: www.whitehouse.gov

EPA Issues Significant New Use Rules for Chemical Substances Under TSCA

The Environmental Protection Agency finalized new Significant New Use Rules (SNURs) on July 17, 2025, affecting certain chemical substances subject to the Toxic Substances Control Act. SNURs require manufacturers, importers, and processors to notify the EPA at least 90 days before engaging in significant new uses, with requirements covering workplace protection, hazard communication, and restrictions on production, use, and disposal. The rules are effective September 15, 2025, and apply to substances designated as having no ongoing use after December 17, 2024. Adjustments have been made to notification protocols and hazard communication in response to stakeholder input.

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

White House Suspends Compliance with EPA Iron Ore and Sterilization Rules for Select Sectors

President Trump signed proclamations on July 17, 2025, providing targeted two-year exemptions from EPA emissions-control regulations affecting taconite iron ore processing and ethylene oxide-based medical sterilization. The cited regulations—the Taconite Rule and EtO Rule—were finalized earlier in 2024 and would have required technology upgrades not currently feasible at commercial scale. Covered facilities, including those operated by U.S. Steel, Cleveland-Cliffs, and several sterilization firms, can continue operations under previous standards through the end of the exemption period.

Sources: White House Announcements: www.whitehouse.gov, White House Announcements: www.whitehouse.gov

Trade: Continuation of Antidumping Duties on Refined Brown Aluminum Oxide from China

The U.S. Commerce Department, in conjunction with the International Trade Commission, confirmed on July 18, 2025, the continuation of antidumping duty orders on refined brown aluminum oxide from China. The decision follows a sunset review, determining that revocation would likely result in renewed dumping and injury to domestic industry. U.S. Customs and Border Protection will continue to collect cash deposits for imports in accordance with the established order.

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

Trade Decisions: Aluminum Extrusions and Foil—Developments from China and Türkiye

The U.S. Court of International Trade issued a ruling, effective July 19, 2025, that amends countervailing duty rates for Kingtom Aluminio S.R.L. in the administrative review of aluminum extrusions from China, accepting the company's no-shipment certification and assigning the all-others cash deposit rate. Separately, Commerce finalized countervailing duty rates for Turkish aluminum foil imports for 2022 at 1.10% for Assan Aluminyum and 1.46% for Panda Aluminyum, with new cash deposit instructions provided to Customs.

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

Canadian Provincial GR News

New Brunswick Provides Growth Funding for Metal Fabricator

Atelier Gérard Beaulieu, a Saint-Quentin-based manufacturer, is set to upgrade operations and create up to 30 jobs, supported through provincial loans and workforce grants totaling up to $554,000.

Sources: Provincial Announcement: www2.gnb.ca

Ontario Company Fined $120,000 Following CNC Lathe Fatality

Allied Tooling Technologies Inc., a Mississauga manufacturer, was fined $120,000 after a worker fatality related to an unguarded CNC lathe; a ministry investigation uncovered that the interlock system had been bypassed.

Sources: Provincial Announcement: news.ontario.ca

Saskatchewan Reports Strong Growth in Manufacturing Sales and Building Construction

Saskatchewan recorded a 4.4% month-over-month increase in manufacturing sales for May 2025, the second highest in Canada, and a 21.7% year-over-year gain in building construction investment, ranking third nationally.

Sources: Provincial Announcement: www.saskatchewan.ca, Provincial Announcement: www.saskatchewan.ca

Ontario Construction and Environmental Compliance Actions

Ostim Ltd. and Pomerleau Inc. were fined a combined $85,000 for violations related to expanded polystyrene foam emissions during construction at a Kingston retirement residence. Separately, AV Terrace Bay, a pulp mill operator, was fined $525,000 for environmental violations including effluent toxicity and air quality breaches.

Sources: Provincial Announcement: news.ontario.ca, Provincial Announcement: news.ontario.ca

Nova Scotia Pursues New Pulp Mill and Expands Wood Use in Public Buildings

While Northern Pulp Nova Scotia was unable to secure funds for a new mill, the government expressed ongoing support for the forestry sector and announced new procurement measures prioritizing mass timber and wood products in public infrastructure projects.

Sources: Provincial Announcement: news.novascotia.ca, Provincial Announcement: news.novascotia.ca

Government Consultations

Consultation Launched: Chemistry Control in Reactor Facilities

The Canadian Nuclear Safety Commission is seeking feedback from stakeholders through July 28, 2025, on REGDOC-2.6.4, which provides guidance on chemistry control programs for reactor facilities.

Sources: Canadian Government Consultations: www.cnsc-ccsn.gc.ca

What We're Reading This Week

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