Tag Archives: aluminum

Canada to impose retaliatory tariffs on C$3.6 billion worth of U.S. goods

By David Ljunggren

OTTAWA (Reuters) – Canada will slap retaliatory tariffs on C$3.6 billion ($2.7 billion) worth of U.S. aluminum products after the United States said it would impose punitive measures on Canadian aluminum imports, a senior official said on Friday.

Deputy Prime Minister Chrystia Freeland told a news conference the countermeasures would be put in place by Sept. 16 to allow consultations with industry.

U.S. President Donald Trump on Thursday moved to reimpose 10% tariffs on some Canadian aluminum products to protect U.S. industry from a “surge” in imports. Canada denies any impropriety.

“A trade dispute is the last thing anyone needs – it will only hurt an economic recovery on both sides of the border. However, this is what the U.S. administration has chosen to do,” said Freeland.

“We do not escalate and we do not back down,” she said later, describing the U.S. decision as unjust and absurd.

The Canadian list of goods that might be subject to tariffs include aluminum bars, plates, household articles, refrigerators, bicycles and washing machines.

It is the second time in two years that Canada has struck back at Trump over trade. In 2018, Ottawa slapped tariffs on C$16.6 billion ($12.5 billion) worth of American goods ranging from bourbon to ketchup after Washington imposed sanctions on Canadian aluminum and steel.

Canadian officials may be calculating that the measures will be short-lived. An Ottawa source briefed by Prime Minister Justin Trudeau’s office said Canadian officials are increasingly sure that Trump will lose the Nov. 3 presidential election to Democratic presidential candidate Joe Biden.

Trump acted just weeks after a new continental trade pact between the United States, Canada and Mexico took effect. The North American economy is highly integrated and Canada sends 75% of all its goods exports to the United States.

The premier of Ontario, Canada’s most populous province, said earlier on Friday that he had encouraged Freeland to impose tariffs on as many U.S. goods as possible.

“For the President to come and attack us during these times, during a pandemic when we need everyone’s support, is totally unacceptable,” Doug Ford told a news conference.

(Reporting by David Ljunggren; Editing by Chris Reese and Dan Grebler)

Hackers hit aluminum maker Hydro, knock some plants offline

A note warning visitors about a cyber attack is seen at the headquarters of aluminum producer Norsk Hydro in Oslo, Norway March 19, 2019. NTB Scanpix/Terje Pedersen via REUTERS

By Gwladys Fouche and Terje Solsvik

OSLO (Reuters) – Norsk Hydro, one of the world’s largest producers of aluminum, battled on Tuesday to contain a cyber attack which hit parts of its production, sending its shares lower and aluminum prices higher.

The company shut several metal extrusion plants, which transform aluminum ingots into components for car makers, builders and other industries, while its giant smelters in countries including Norway, Qatar and Brazil were being operated manually.

The attack began on Monday evening and escalated overnight, hitting Hydro’s IT systems for most of its activities and forcing staff to issue updates via social media.

FILE PHOTO: An aluminium coil is seen during opening of a production line for the car industry at a branch of Norway's Hydro aluminum company in Grevenbroich, Germany May 4, 2017. REUTERS/Wolfgang Rattay/File Photo

FILE PHOTO: An aluminum coil is seen during the opening of a production line for the car industry at a branch of Norway’s Hydro aluminum company in Grevenbroich, Germany May 4, 2017. REUTERS/Wolfgang Rattay/File Photo

The Norwegian National Security Authority (NNSA), the state agency in charge of cybersecurity, said the attack used a virus known as LockerGoga, a relatively new strain of so-called ransomware which encrypts computer files and demands payment to unlock them.

Citing a message sent by the NNSA, public broadcaster NRK said on its website hackers had demanded ransom money from Hydro to stop the attack, but the company has not confirmed this.

The malware is not widely used by cybercrime groups, researchers said, but has been linked to an attack on French engineering consultancy Altran Technologies in January.

“Hydro is working to contain and neutralize the attack, but does not yet know the full extent of the situation,” the company said in a statement.

It added that the attack had not affected the safety of its staff and it was too early to assess the impact on customers.

News of the attack pushed aluminum prices up 1.2 percent to a three-month high of $1,944 a tonne in early trade on the London Metal Exchange, before giving up some gains to trade at $1,938 by 1253 GMT.

The event was a rare case of an attack on industrial operations in Norway. The last publicly acknowledged cyber attack in the Nordic country was on software firm Visma, when hackers allegedly working on behalf of Chinese intelligence breached its network to steal secrets from its clients.

PLANT CLOSURES

Companies and governments have become increasingly concerned about the damage hackers can cause to industrial systems and critical national infrastructure following a number of high-profile cyber attacks.

In 2017, hackers later accused by the United States of working for the North Korean government unleashed billions of dollars worth of damage with the Wannacry ransomware virus, which crippled hospital, banks and other companies worldwide.

Pyongyang has denied the allegations.

Other cyber attacks have downed electricity grids and transport systems in recent years, and an attack on Italian oil services firm Saipem late last year destroyed more than 300 of the company’s computers.

Hydro makes products across the aluminum value chain, from the refinement of alumina raw material via metal ingots to bespoke components used in cars and construction.

“Some extrusion plants that are easy to stop and start have chosen to temporarily shut production,” said a Hydro spokesman.

The company’s hydroelectric power plants were running as normal on isolated IT systems unaffected by the outage.

Norsk Hydro’s main website page was unavailable on Tuesday, although some of the web pages belonging to subsidiaries could still be accessed. The company was giving updates on the situation on its Facebook page.

“Hydro’s main priority now is to limit the effects of the attack and to ensure continued people safety,” it wrote in a Facebook post.

Hydro shares fell 3.4 percent in early trade before a partial recovery to trade down 0.4 percent by 1253 GMT. They were still lagging the Oslo benchmark index, which was up 0.7 percent.

Hydro, which has 36,000 employees in 40 countries, made a net profit of 4.3 billion Norwegian crowns ($505 million) last year on sales of 159.4 billion.

(Additional reporting by Nerijus Adomaitis in Oslo, with Jack Stubbs and Barbara Lewis in London; Editing by Kirsten Donovan and David Holmes)

Trump sets metals tariffs but exempts Canada and Mexico

FILE PHOTO: Rolled steel are seen at a Hyundai Steel plant in Dangjin, about 130 km (81 miles) southwest of Seoul June 15, 2011. REUTERS/Lee Jae-Won/File Photo

By David Lawder, Antonio De la Jara and Dave Sherwood

WASHINGTON/SANTIAGO (Reuters) – President Donald Trump pressed ahead with the imposition of 25 percent tariffs on steel imports and 10 percent on aluminum on Thursday but exempted Canada and Mexico, backtracking from earlier pledges of tariffs on all countries.

Details of the plan came from a briefing by administration officials ahead of Trump’s speech, which had been due to start at 3:30 p.m. (2030 GMT). Trump will say that other countries can apply for exemptions, according to the administration, although details of when they would be granted were thin.

Trump has offered relief from steel and aluminum tariffs to countries that “treat us fairly on trade,” a gesture aimed at putting pressure on Canada and Mexico to give ground in separate talks on the North American Free Trade Agreement (NAFTA), which appear to be stalled.

Trump has also demanded concession from the European Union, complaining that it treated American cars unfairly and has threatened to hike tariffs on auto imports from Europe.

Stock markets in Canada and Mexico rallied on the news, as did the Canadian dollar and the Mexican peso.

There was no mention of Mexico and Canada giving ground on NAFTA in the proposals.

Trump’s tariffs have triggered the threat of countermeasures from the European Union and now China. The levies aim to hit Beijing, although China exports very little of either metal to the United States.

(Additional reporting by Michael Martina, Elias Glenn, Kim Coghill, Brian Love, Nichola Saminather, Doina Chiacu and Andrea Hopkins; writing by David Stamp and David Chance; editing by Jonathan Oatis and Frances Kerry)