← Briefing Room

Canada implements retaliatory tariffs on U.S. goods

What happened

Canada began imposing retaliatory tariffs on $20 billion worth of U.S. goods on September 8, with duty rates ranging from 15% to 50%.

The new measures include a 50% tariff on various U.S. dairy products and a 25% tariff on certain softwood lumber, among other goods such as steel, furniture, clothing, and electronics.

Why it matters

Canada states that its tariffs match Washington’s dollar for dollar and rate for rate.

The implementation follows three days of unsuccessful negotiations in Washington between Canadian Trade Minister Dominic LeBlanc and U.S. Trade Representative Jamieson Greer.

Context

U.S. tariffs on $20 billion of Canadian exports began on August 22, and Canada is now imposing its own tariffs on $20 billion of U.S. goods.

Prior U.S. tariffs affected sectors including wine, furniture, dairy products, cement, clothing, fishing rods and hockey equipment, while President Donald Trump has threatened to raise tariffs on Canadian automotive products to 50 per cent starting January 1.

Sources