Nucor, Steel Dynamics, and Cleveland-Cliffs rise after U.S. scraps trade talks and raises tariffs on Canadian imports.
Shares of Nucor, Steel Dynamics, Cleveland-Cliffs, and Century Aluminum climbed early Monday after the U.S. abandoned trade negotiations with Canada and imposed 50% tariffs on $20 billion worth of Canadian goods, including steel and aluminum. The move reverses last week’s decline, which followed speculation of reduced U.S. tariffs under a potential deal.
The tariffs target key sectors such as liquor and electrical equipment, signaling a shift toward protectionist trade policies. Analysts had anticipated a deal that would ease cross-border trade barriers, but the collapse of talks sent steel stocks higher as domestic producers benefit from reduced competition.
Market reaction was immediate, with steel equities rebounding sharply in pre-market trading. The broader market also rose, though some sectors faced selling pressure amid the trade policy shift.