OTTAWA, ONTARIO / RankWire.AI / – Canada plans to apply tariffs of 15%, 25%, and 50% on C$27.6 billion worth of U.S. imports starting from September 8. These tariffs will affect over 700 items and will match U.S. duties exactly. Prime Minister Mark Carney announced the date after the U.S. tariffs took effect on August 22. Canada confirmed that each product selected will bear the same rate as the U.S. measures.
In response, the U.S. imposed 50% tariffs on C$27.6 billion of Canadian goods. Canada responded by halting bilateral trade negotiations after rejecting the new terms proposed by Washington. Ottawa then prepared countermeasures that target goods across various key sectors. The U.S. actions rely on Section 338 of the Tariff Act of 1930 and Section 232 authorities. Canadian counter tariffs on U.S. automobiles will stay in effect alongside these new measures.
Canada’s 50% tariff level now includes steel and aluminum products, which previously faced a 25% counter tariff. It also covers furniture, clothing, and apparel. The 25% tier includes appliances, dairy products like cheese, and certain steel and aluminum derivative items. Other sectors under focus include agricultural equipment, pulp and paper, and electronics. Canada stated that the expanded list concentrates on sectors already impacted by U.S. tariffs.
Tariffs target major industries
The Canadian government announced C$7.5 billion in new and expanded aid for workers and businesses affected by these tariffs. The support package includes C$1.5 billion for the Regional Tariff Response Initiative. It also offers C$500 million in liquidity through the Business Development Bank of Canada’s Pivot to Grow program. Ottawa allocated C$2 billion to the Canada Strong Diversification Fund. The government lowered the minimum revenue requirement to C$1 million to expand access to existing tariff relief programs.
A total of C$3.5 billion is set aside for quick support for workers and companies. This includes temporary flexibilities in Employment Insurance, workplace training, and a new worker retention and retraining program. Finance Minister François-Philippe Champagne stated that the counter tariffs will match the U.S. measures dollar for dollar and rate for rate. The government emphasized that this new support builds on nearly C$25 billion provided since the initial U.S. tariffs began.
Effective September 8, new duties apply
The tariffs will only be applied to goods classified as U.S. origin under Canada’s rules. Canada will not impose tariffs on U.S. goods already in transit when the measures come into force. The duties will start at 12:01 a.m. on September 8. The Canada Border Services Agency will oversee the collection of these new duties at the border. The tariff remission framework remains available for requests for exceptional relief.
The product list broadens the scope of the trade dispute beyond metals and automobiles. It includes household and industrial goods such as dairy, seafood, machinery, furniture, appliances, and electronics. Tariff rates vary among products, with 15%, 25%, or 50% applicable. The tariffs cover everything from industrial inputs to finished consumer items. These new tariffs will run alongside existing Canadian counter tariffs on U.S. automobiles.