UAE Digital
The trade war between Canada and the United States enters a new chapter as Canada introduces retaliatory tariffs. These tariffs target sectors most affected by previous U.S. tariffs imposed by the Trump administration. Key new levies include:
- **Dairy**: A 50% tariff on various U.S. dairy products such as milk, cream, whey, and multiple cheese types (Camembert, brie, cheddar, etc.). A 25% tariff applies to fresh cheese and curd. Imports exceeding quotas under the Canada-U.S.-Mexico Agreement face tariffs up to 200%.
- **Seafood**: Initially planned at 25%, these were later removed due to feedback from the fishing sector.
- **Forestry and Wood**: 25% tariffs on softwood products like pine and fir, and a 50% levy on plywood and veneered panels.
- **Paper and Paperboard**: 50% tariff on most types, with a 25% rate for kraft and bleached paper under certain weight limits.
- **Toiletries and Sanitary Products**: Tariffs depend on import size, with 50% for most types.
- **Steel and Aluminum**: 50% tariffs on steel rods, bars, sheets, prefabricated items, and aluminum wires/foil. Copper wire tariffs were added on August 26.
- **Cosmetics and Textiles**: 50% tariffs on sunscreen, makeup, perfumes, clothing (suits, dresses, ski suits), and hazardous material suits. A 25% levy applies to handwoven rugs and wool-based textiles.
- **Electronics and Appliances**: 50% tariff on smartphones, golf clubs, video game consoles, and chandeliers. Appliances (stoves, refrigerators) face 15–25% tariffs.
- **Plastics and Miscellaneous**: 50% tariff on vinyl wall/ceiling coverings and plastics packaging. 15–25% tariffs on air conditioners, tower cranes, and motorcycles.
- **Natural Products**: 50% tariff on American honey and molasses.
Canada previously imposed 25% tariffs on U.S. steel and aluminum in March 2025. U.S. President Donald Trump has threatened to raise tariffs on Canadian steel, aluminum, and vehicles to 50% starting January 1, 2027.
Source: BNN Bloomberg
