On July 8th, 2025, U.S. President Donald Trump announced a 50% tariff on copper imports. This decision has triggered significant concerns throughout Canada, where copper is a key export to the U.S. The policy is expected to affect a wide range of industries, with impacts on construction and skilled trades.
Copper is an essential material used in electrical wiring plumbing, HVAC systems, and other infrastructure critical to the trades. Already subject to global price fluctuations, the announcement pushed copper prices to a record high of $5.68 per pound, with further increases anticipated.
While the tariff specifically targets US imports, the implications are extended into the Canadian economy. Export demand is expected to decline as U.S buyers face increased costs, putting pressure on Canadian copper producers and supply chains. At this time, global copper prices are rising, meaning Canadian contractors, electricians, and plumbers will likely face higher input costs even within domestic markets.
These increases will be particularly difficult for business owners and independent tradespeople, who are often operating within their own margins, while also affecting employers & buyers. Higher material costs can lead to product delays affordability challenges and decreased job stability, with clients possibly wanting to postpone or scale back construction projects due to these rising prices.
Additionally, the tariff introduces new complications for firms operating in both Canada and the U.S, especially those based in Ontario with cross-border contracts procurement, pricing, and project planning will most likely become more complex and less predictable in the upcoming months. Although the trump administration frames the policy as a strategy to support domestic mining and drop creation within the US, it does come at the cost of border supply chain integration within North America. For Canadian tradespeople, this translates to increased costs, market uncertainty and further strain on an industry that has already faced workforce shortages and inflationary pressures.
This shift is particularly concerning given on going efforts in Canada to attract more workers into the skilled trades, especially youth and women in trades. Rising material costs present additional financial barriers for a new entrance, complicating progress on workforce development goals.
As Canada continues to prioritize investment in skilled trades and infrastructure, developments like this tariff highlight the importance of stability, predictable supply chains and cross-border cooperation. During times where economic stability is rocky and the full economic impact of this tariff remains unclear, policy enacted beyond our borders can have direct and lasting consequences for Canadian workers. It is important that tradespeople have the support, resources and cost ability they need to succeed, navigating these broader challenges in maintaining momentum and building a resilient skilled workforce. Hopefully Canada’s governments can come together and develop a long-term strategy to strengthen domestic supply chains and reduce vulnerability to international trade disruptions, as these challenges can be turned into opportunities for adaptation and growth overtime.