Canada has fired back in the escalating trade war with the United States, announcing a sweeping package of retaliatory tariffs on hundreds of American products. The Canadian government said it will impose duties of 15%, 25% and 50% across 700 different goods, targeting $20bn worth of US imports. The new tariffs take effect on 8 September, following through on Prime Minister Mark Carney’s promise to match President Donald Trump’s duties “dollar for dollar”.
The announcement came after a morning of blistering attacks from Trump, who called Canada the “most difficult and unreasonable” country he deals with. In a series of posts on Truth Social, the president accused Canada of “ripping off” the US “for decades”, citing high tariffs on American farmers and a long-running dispute over Gulfstream jets. “They feel entitled, but they are not a State, and will be entitled no longer!” he wrote.
What’s on the tariff list?
The list of affected products is broad. A 50% duty will hit American steel and aluminum, as well as video game consoles. A 25% tariff applies to cheese, fresh and frozen fish and seafood, several wood products, and household appliances like washing machines, hairdryers and stoves. The remaining products face a 15% duty, though the government did not specify which ones in its initial statement.
For ordinary Canadians, this means higher prices on a range of goods that cross the border. But the tariffs are also designed to put pressure on US producers and exporters, who rely heavily on the Canadian market. The Canadian government has framed the measures as a direct response to what it sees as unfair US trade practices, and has signaled it is prepared to go further if needed.
The announcement came just hours after Canada’s trade minister, Dominic LeBlanc, said Ottawa was “not waiting by the phone” for a deal. In an interview with CNBC on Tuesday, LeBlanc said trade talks had collapsed over the weekend, but that Canada still believed a deal was possible. “Our preference was to find a deal that benefits both countries,” he said. “We still believe that’s possible. But in the meantime, we’re not waiting by the phone.”
The immediate trigger for Canada’s move was the imposition of 50% duties on $20bn worth of Canadian goods by the US, which took effect earlier this week. Those US tariffs were part of a broader escalation that has seen both countries hit each other with increasingly heavy duties on a wide range of products, from steel and aluminum to agricultural goods and consumer items.
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