China’s Ban, Trump Tariffs Threaten Canada’s Mining Industry

In response to China’s decision to restrict exports of critical metals to the United States and former President Donald Trump’s proposal to impose 25% tariffs, the Mining Association of Canada is advocating for stronger trade cooperation between Canada and the United States.

China has imposed an immediate ban on exports of gallium, germanium, and antimony to the United States, citing national security concerns. This move follows expanded US restrictions on advanced technology sales to China and includes tighter reviews of graphite exports. The Mining Association of Canada highlighted that China’s export restrictions amplify risks and geopolitical tensions, threatening the stability of global critical mineral supply chains. 

Pierre Gratton, President, Mining Association of Canada, cautioned that imposing tariffs on Canadian mineral exports would further undermine secure and supply chains. “Such measures risk disrupting the essential flow of these resources, undermining the competitiveness of North American industries, and exacerbating vulnerabilities in critical mineral supply chains that both nations are working to address.”

Gratton emphasized that the critical minerals partnership between Canada and the United States began in 2020 with the creation of the Joint Action Plan on Critical Minerals Collaboration under President Trump and has continued under the Biden administration. “As the United States transitions to a new administration, we look forward to working with the incoming Trump administration to further strengthen this partnership, improve the resilience of critical mineral supply chains, and support shared economic and defense priorities,” he stated.

The mining sector is a key driver of Canada’s economy, contributing US$161 billion to the GDP and accounting for 21% of the nation's total domestic exports. In 2022, over 50% of Canada’s mineral exports, valued at more than US$56.9 billion, were directed to the United States.