Canada removes countervailing duties on US products under CUSMA

Following the Cabinet meeting, Carney said, “The Canadian government is removing all tariffs on US goods covered by CUSMA, bringing them into line with the US decision.”

Carney noted that the decision will take effect on September 1 and that steel, aluminum, and automotive products will be excluded from this scope.

Meanwhile, US President Donald Trump had raised the customs duty on imports from Canada from 25% to 35% with an executive order signed on July 31. The White House announced that the new tariff rate would take effect on August 1 and accused Canada of not providing sufficient support for efforts to stop the flow of fentanyl and other illegal substances. The US also stated that it had taken this decision in retaliation for certain actions taken by Canada.