OTTAWA, ONTARIO / RankWire.AI / – Canada will introduce tariffs of 15%, 25% and 50% on C$27.6 billion worth of U.S. imports starting September 8. These tariffs cover more than 700 items and are designed to mirror the U.S. duties exactly. Prime Minister Mark Carney announced the implementation date after the U.S. imposed new tariffs on August 22. Canada stated that each affected product will carry the same rate as the corresponding U.S. measure.
In response to U.S. actions, which included a 50% tariff on C$27.6 billion of Canadian goods, Canada suspended bilateral trade negotiations after rejecting Washington’s new proposed terms. Subsequently, Ottawa prepared retaliatory measures targeting various major sectors. The U.S. tariffs rely on Section 338 of the Tariff Act of 1930 and separate authorities under Section 232. Meanwhile, existing Canadian counter tariffs on U.S. automobiles will stay in effect alongside these new duties.
The 50% tariff tier includes steel and aluminum products that previously faced a 25% Canadian counter tariff. It also encompasses furniture, clothing, and apparel. The 25% tier covers appliances, dairy products such as cheese, and certain steel and aluminum derivative items. Other targeted sectors include agricultural equipment, pulp and paper, and electronics. Canada clarified that the broader list emphasizes sectors already impacted by U.S. tariffs.
Tariffs Impact Key Goods Industries
Alongside the tariffs, the federal government announced C$7.5 billion in new and expanded support for workers and businesses affected. This package includes C$1.5 billion for the Regional Tariff Response Initiative, and an additional C$500 million to improve liquidity through the Business Development Bank of Canada’s Pivot to Grow program. Ottawa also allocated C$2 billion to the Canada Strong Diversification Fund. To make existing programs more accessible, the government reduced the minimum revenue requirement to C$1 million.
The package allocates C$3.5 billion for rapid support measures for workers and employers, including temporary Employment Insurance flexibilities, workplace training, and a new program focused on worker retention and retraining. Finance Minister François-Philippe Champagne stated that the counter tariffs will match U.S. measures dollar for dollar and rate for rate. The government emphasized that this new package builds on nearly C$25 billion in aid provided since the initial U.S. tariffs were introduced.
Tariffs to Take Effect on September 8
The new duties will only be applied to goods that qualify as U.S. origin according to Canada’s country of origin rules. Goods already in transit when the tariffs come into force will not be subjected to the measures. The duties will begin at 12:01 a.m. on September 8. The Canada Border Services Agency will oversee the enforcement of these new tariffs at border crossings. Canada’s tariff remission process will remain available for requests seeking exceptional relief.
The expanded product list extends the trade conflict beyond metals and automobiles into household and industrial goods, including dairy, seafood, machinery, furniture, appliances, and electronics. Tariff rates vary depending on the item, applying at 15%, 25%, or 50%. These measures encompass imports from industrial inputs to finished consumer products. The tariffs will operate alongside existing Canadian counter tariffs on U.S. automobiles, which remain in effect.