OTTAWA, ONTARIO / RankWire.AI / – Canada is set to introduce tariffs of 15%, 25% and 50% on C$27.6 billion worth of U.S. imports beginning September 8. The new measures encompass more than 700 tariff items and are aligned with U.S. duties on a one-to-one basis. Prime Minister Mark Carney announced the implementation date following the enforcement of U.S. tariffs starting August 22. Canada clarified that each selected product will carry the same rate as the corresponding U.S. measure.
The U.S. imposed tariffs of 50% on C$27.6 billion of Canadian goods. In response, Canada halted bilateral trade negotiations after rejecting the new terms proposed by Washington. Ottawa then prepared retaliatory measures targeting goods across several key sectors. These U.S. tariffs are based on Section 338 of the Tariff Act of 1930 and separate authorities under Section 232. Canadian countermeasures on U.S. automobiles will continue to be in effect alongside the new tariffs.
Canada’s 50% tariff bracket now includes steel and aluminum products previously facing a 25% Canadian counter tariff. It also applies to furniture, clothing, and apparel. The 25% tier covers appliances, dairy products such as cheese, and certain steel and aluminum derivative goods. Other targeted industries include agricultural equipment, pulp and paper products, and electronics. Canada stated that the expanded list mainly focuses on sectors already impacted by U.S. tariffs.
Tariffs Affect Major Industrial and Consumer Goods
In addition, the federal government announced C$7.5 billion in new and expanded assistance for workers and businesses impacted by the tariffs. This package includes C$1.5 billion allocated for the Regional Tariff Response Initiative. It also provides C$500 million in liquidity through the Business Development Bank of Canada’s Pivot to Grow program. Furthermore, Ottawa has dedicated C$2 billion to the Canada Strong Diversification Fund. The government has eased access to existing tariff support programs by lowering the minimum revenue threshold to C$1 million.
A portion of the aid, C$3.5 billion, is dedicated to rapid response support for workers and employers. Measures include temporary Employment Insurance flexibilities, workplace training, and a new program focused on worker retention and retraining. Finance Minister François-Philippe Champagne confirmed that the counter tariffs will match U.S. measures dollar for dollar and rate for rate. The government emphasized that this new support builds upon nearly C$25 billion provided since the initial U.S. tariffs were introduced.
Effective September 8, New Duties Will Be Enforced
The tariffs will apply solely to goods considered U.S. origin under Canada’s country of origin rules. Canada will not impose the duties on U.S. products already en route at the time the tariffs commence. The duties will be effective from 12:01 a.m. on September 8. The Canada Border Services Agency will oversee the collection of these new tariffs at border crossings. Canada’s tariff remission framework will continue to be available for requests seeking exceptional relief.
The expanded list of products extends the trade conflict beyond metals and automobiles, reaching household and industrial goods. It also covers dairy, seafood, machinery, apparel, furniture, appliances, and electronics. Tariff rates differ by product, with 15%, 25%, or 50% applied across the various items. These measures encompass everything from industrial inputs to finished consumer goods. Alongside these new tariffs, Canada will maintain existing countermeasures on U.S. automobiles.