Canada will raise the tariff on U.S. steel to %50

Canadian Finance Minister François-Philippe Champagne said that negotiations had been held in recent months to reach a mutually beneficial trade agreement with the US, but that the conditions put forward by the US administration were not acceptable to Canada.

Recalling that the US imposed a 50% tariff on Canadian goods worth approximately C$28 billion (around US$20 billion) on August 22, Champagne announced that Canada would respond with proportionate and targeted measures.

Retaliatory tariffs on US products worth C$27.6 billion

Under the new regulation, Canada will impose tariffs of 15%, 25%, or 50% on a total of C$27.6 billion worth of products imported from the US starting September 8.

The tariff rate applied to each product will be matched to the rate imposed by the US on the same type of Canadian product.

Canada’s Department of Finance said the retaliatory tariffs would particularly target steel, dairy products, household appliances, agricultural equipment, paper, and electronics sectors affected by US measures.

Steel and aluminum tariffs to be raised to 50%

Under the new measures, the tariff rate on US-origin steel and aluminum products, which were previously subject to a 25% retaliatory tariff, will be increased to 50%. Furniture and clothing products will also be among those subject to a 50% tariff.

Certain steel and aluminum derivative products will be subject to a 25% tariff. The same group also includes household appliances, certain dairy products, fish, and seafood.

Other Canadian retaliatory tariffs introduced previously, including those on US-origin automobiles, will remain in effect.

Canada to provide an additional C$7.5 billion in support

The Canadian government also announced new support measures for workers and businesses affected by US tariffs. In addition to approximately C$25 billion in support previously provided, new and enhanced measures worth C$7.5 billion will be implemented.

The government said the retaliatory tariffs aim to protect Canadian workers, producers, and manufacturers affected by US trade measures and support domestic companies’ competitive conditions in the Canadian market.