Key updates on cross-border tariff rules, Canadian counter-tariffs, and active federal/provincial support programs.
Following the suspension of cross-border trade negotiations, the Government of Canada has announced a decisive response to protect domestic workers and defend strategic industrial sectors.
After the United States proposed terms that undermined Canadian economic interests, Canada chose to halt talks rather than accept an unfair deal. To establish a level playing field, Canada is retaliating with equivalent measures while rolling out $7.5 billion in emergency assistance for impacted businesses and their employees.
Effective September 8, Canada will impose dollar-for-dollar counter-tariffs matching the recent 50 per cent U.S. tariff actions. Applying to $27.6 billion worth of imported goods from the U.S., these counter-tariffs will range between 15, 25, and 50 per cent. The targeted imports primarily affect core industrial and manufacturing inputs, including steel, agricultural equipment, appliances, pulp and paper, electronics, and dairy products.
Sectors and Products Reported as Subject to the 50% Tariff:
Manufacturing & Industrial Products
-Cement
-Certain construction materials
-Industrial manufactured goods
-Some machinery and equipment categories
-Agricultural equipment exports
Consumer Goods
-Hockey equipment (including hockey sticks)
-Sporting goods
-Goose-down jackets and related apparel
-Certain household appliances
-Electronics products
Resource-Based Products
-Pulp and paper products
-Some forestry-related manufactured products
Food & Beverage Products
-Whisky and alcoholic beverage products
-Dairy-related products
Additional United States Tariffs In Effect
-35% “reciprocal” tariffs on all non-CUSMA eligible goods: Guide to CUSMA Compliance
-10% tariff on energy products
-50% tariff on steel and aluminum
-25% tariff on automobiles, light trucks and auto parts
-10% tariff on potash
-50% tariff on copper imports
-45% tariff on softwood lumber
-25% tariff on certain upholstered wooden furniture, kitchen cabinets and vanities
-Effective August 29, 2025: goods exported to the U.S. that are valued at or under $800 and that would otherwise qualify for the de minimis exemption will be subject to all applicable duties.
