Canada unveils retaliatory tariffs on wide range of US goods
Canada will impose new tariffs on more than 700 categories of US goods starting 8 September, hitting back after US levies took effect following collapsed trade talks. The move comes amid escalating rhetoric between Trump and Canadian officials.
Canada has announced it will impose new tariffs on a broad swath of American products, including cosmetics, dairy, wood products and outdoor equipment, in a retaliatory move against tariffs recently imposed by the United States. The announcement follows the collapse of trade talks between the two countries last Friday, after which US tariffs on Canadian goods took effect on Saturday.
On Tuesday, Canada's finance and industry ministers unveiled what they described as a "focused response" to what Ottawa considers unfair US trade measures. The White House had invoked section 338 of the Tariff Act of 1930, citing what it called "discriminatory" Canadian trade practices, including provincial bans on US alcohol — bans that were themselves introduced in protest at earlier US tariffs on Canadian goods.
Prime Minister Mark Carney had previously promised a "dollar-for-dollar" response after roughly 5% of Canada's exports to the US were targeted by Washington.
Over 700 product categories affected
The retaliatory measures will apply to C$27.6bn (about £14.6bn) worth of imports, targeting industries such as steel, dairy, appliances, agricultural equipment, and pulp and paper. Ottawa's list includes more than 700 items, with most facing tariffs of 25% or 50%. A smaller group of goods, including air conditioning units and tool parts, will be subject to a lower 15% rate. The tariffs take effect on 8 September and apply only to goods originating in the US.
Finance Minister François-Philippe Champagne said the country stood united against the US, stating that Canada remained "masters of our own home." Industry Minister Mélanie Joly urged businesses and consumers to buy Canadian products as part of a wider "resistance" effort in the trade dispute. The government also announced more than C$7bn in new support for affected businesses, adding to over C$20bn pledged over the past 18 months.
Tensions continue to escalate
Earlier on Tuesday, Trump said he was giving "serious consideration" to renaming Lake Ontario "Lake America," echoing his earlier renaming of the Gulf of Mexico. Observers noted that Ontario, Canada's most populous province, was actually named after the lake, not the reverse.
Trump's irritation appears linked to his ongoing feud with Ontario Premier Doug Ford, who has called the US president a "loser" and threatened to cut electricity and rare earth exports to the US. Trump responded by labeling Ford a "flunky" and warning Canadian officials to "fall in line" or face far worse consequences. Trump also dismissed reports that US negotiators sought to weaken French-language protections in Canada, calling the claims a lie invented by Carney, and added: "I love French Canadians!"
