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Some of the tariffs will be 50%.
Canada announced on Tuesday that it will slap major new counter-tariffs on nearly C$28 billion worth of American imports starting 8 September.
The move comes directly after bilateral trade negotiations collapsed late last week.
US President Donald Trump had already hit Canadian exports with a fresh wave of steep levies over the weekend. In response, officials in Ottawa decided to strike back with equal financial force.
Finance Minister François-Philippe Champagne made the Canadian government position clear on Tuesday. “Those tariffs will have real consequences for Canadian workers, businesses and communities across our nation,” he said according to the BBC.
He added flatly, “Canada must respond.”
Champagne described the planned counter-strike as “proportionate” and “strategic”. The targeted items have been selected to provide Canadian consumers with easily accessible domestic alternatives to soften the economic blow.
Target on goods
The official hit list targets almost 900 separate American products. Industrial metals will take a major hit, with steel and aluminum items facing 50 per cent taxes.
Everyday consumer items are also on the chopping block. Fresh tuna, cotton T-shirts, wooden furniture, makeup, and natural honey will all face that same 50 per cent levy.
Other home essentials face a 25 per cent tax rate, including kitchen dishwashers, clothes washing machines, and imported cheeses. Heavy equipment like forklifts and air conditioning units will carry a lighter 15 per cent charge.
Both nations now face immediate economic strain. Because cross-border supply lines have been linked for decades, trade costs will jump quickly, leaving everyday shoppers and business owners stuck with higher bills.
Millions in aid
To cushion the heavy shock, Canadian leaders are setting aside an additional C$7.5 billion in support funding. The cash aims to keep businesses afloat. It will also protect local workers from sudden job losses.
Negotiators from both sides blamed each other for making unreasonable last-minute demands at the finish line. Now, companies and consumers across North America must brace for price hikes.
