China’s recent export ban on gallium, germanium, antimony, and other high-tech materials critical to military and technological applications serves as a stark reminder of the vulnerability of global supply chains. This move highlights the crucial role of the Canada-U.S. trade relationship in mitigating supply chain risks and securing critical minerals. These minerals are indispensable not only for technological advancements and economic growth but also for national defense.
Canada has long been a trusted partner in supplying these vital resources to the U.S., ensuring stability for American manufacturing and defense sectors. In 2022, over half (52%) of Canada’s mineral exports, valued at more than $80 billion, were directed to the U.S. Strengthening the free flow of these materials between the two nations has never been more important.
Any imposition of tariffs on Canadian minerals and metals exports would undermine this vital trade partnership, jeopardizing North American competitiveness, and exacerbating vulnerabilities in critical mineral supply chains that both countries are working to improve.
The Canada-U.S. collaboration on critical minerals began in earnest with the 2020 Joint Action Plan on Critical Minerals Collaboration under President Trump, and continues to thrive under President Biden. As a new administration approaches, Canada looks forward to further strengthening this strategic alliance to ensure resilient supply chains for both economic and defense needs.
Pierre Gratton, President and CEO of the Mining Association of Canada (MAC), emphasized the importance of this partnership: “The minerals and metals industry in Canada stands ready to ensure the free flow of essential resources that fuel economic growth, technological progress, and defense capabilities on both sides of the border. The security and prosperity of all Canadians and Americans depend on it.”
The mining sector is a key contributor to Canada’s economy, generating $161 billion in GDP and accounting for 21% of Canada’s total exports. The sector also employs 694,000 people, including a significant proportion of Indigenous peoples, and supports numerous Indigenous-owned businesses.
