Canadian miners should brace for the impact of Trump’s tariffs
In 2024, the mining industry saw some significant mergers and acquisitions. To mention but a few, Piedmont Lithium and Sayona Mining merged to create a leading North American lithium producer, Integra Resources and Florida Canyon Gold formed a new Great Basin precious metals producer, and Gold Fields completed the acquisition of Osisko Mining. Additionally, the global mining market in Q3 2024 witnessed deals worth $23 billion, a 42% increase compared to Q3 2023.
In 2025, the nature of the beast the Canadian mining sector will have to face has changed. In a recent interview on CBC Radio’s Labrador Morning, I was asked about the impact, particularly on iron ore and nickel produced in Newfoundland and Labrador, of the proposed 25% tariff by the U.S. President-elect Trump. My answer was that it will have a huge impact, not just on Labrador’s iron ore and nickel, but also on all minerals exported to the U.S. from Canada and could significantly impact both the U.S. and Canadian economies. Trump’s proposed tariffs on Canadian mineral imports could disrupt trade, increase costs for U.S. manufacturers, and negatively affect the Canadian mining industry. A decline in exports to the U.S. could negatively impact Canada’s mining sector, leading to potential job losses and reduced economic activity in regions dependent on mining.
According to several recent articles from S&P Global, Financial Times, and our sister website, MINING.COM, Trump’s tariffs would drive up metals’ costs for manufacturers. Because the U.S. imports substantial amounts of critical minerals from Canada, imposing tariffs would raise the cost of these essential materials for U.S. manufacturers, potentially leading to higher production expenses and increased prices for goods in the U.S., and eventually contributing to inflation.
On page 26 of this issue, Steve Gravel discusses how Canada can develop a trade strategy that exempts critical mineral exports from these tariffs, and he argues that we need to position Canada as an indispensable trading partner to the U.S., focusing on bilateral agreements that highlight mutual economic benefits, thus aligning Canadian exports with U.S. priorities such as job creation (personally, I prefer imposing tariffs on Tesla EVs).
Also in this combined issue, we focus on international mining topics. Canada’s mining sector is highly international and plays a significant role in the global mining industry. Canada is home to 75% of the world’s mining companies, with over 1,400 mining and exploration companies listed on the Toronto Stock Exchange (TSX) and TSX Venture Exchange. Additionally, Canadian companies have operations in more than 100 countries, making it a dominant force in the global mining industry.
Thousands of Canadian mining supply and services companies are also working with the sector internationally. International success stories of Canadian miners are covered in articles on pages 18 to 31, in addition to several topics related to international mining.
Our regular columns also discuss international mining issues. On page 8, our Law column reflects on the risk management considerations for mining companies when expanding abroad. The issue also contains several articles on technology, equipment, and more
Finally, our team wishes our readers Happy Holidays and a Happy New Year! Our next issue is February/March (PDAC 2025) issue which will feature our annual review on the state of mining in Ontario, including a report on top development projects, the Ontario Mining Association’s annual address, and a look at the new technology and innovations emerging from the rich vein of suppliers in the province. Relevant editorial contributions can be sent directly to the Editor in Chief no later than Feb. 10th, 2025.