Canadian Prime Minister Mark Carney has announced new limits on foreign steel imports, aiming to shield Canada’s struggling steel sector from cheap overseas competition and ongoing US tariffs, according to Firstpost.

Imports from non-free trade partners like China and Turkey will be capped at half of 2024 levels, with a 50 percent tariff on any excess. Similar limits and tariffs will apply to imports from other free trade partners, excluding the US and Mexico. Additionally, a 25 percent tariff will target steel from non-US countries if it was melted and poured in China.

Carney said the changes will help Canadian producers secure a larger share of the domestic market. Existing rules under the Canada-US-Mexico Agreement remain unchanged, Firstpost reported.

Industry leaders welcomed the move, calling it a needed step to stabilize the sector.