Canada has raised tariffs on U.S. goods amid a trade dispute
The Canadian government has imposed new tariffs on hundreds of goods from the United States, raising them to 15–50 percent. The decision marks another step by Ottawa in response to the trade policies of U.S. President Donald Trump’s administration.
The Canadian government raised import duties on a range of U.S. steel products from 25% to 50%.
The new tariffs also apply to a range of consumer goods, including motorcycles, cosmetics, cheese, and other products.
The decision took effect on Tuesday, September 8, at 7:01 a.m. Kyiv time.
According to Bloomberg, Ottawa’s decision will particularly affect U.S. exporters in Michigan and Ohio, which have significant trade ties with Canada.
These states are currently politically significant, as a fierce campaign is underway there ahead of the U.S. midterm congressional elections in November.
U.S. officials have not yet indicated exactly when or how Donald Trump might respond to the new Canadian tariffs.
Over the past few weeks, U.S. and Canadian negotiators have been trying to ease trade tensions and reach an agreement.
It appeared that the parties were close to reaching a compromise on the general terms of a future agreement.
On August 18, Donald Trump announced a preliminary agreement and noted that the parties had been given three days to finalize the details.
However, this agreement never took effect.
Following the collapse of the agreement between Ottawa and Washington, a period of mutual criticism began that lasted about two weeks.
Both sides accused each other of derailing the deal at the final stage of negotiations.
Canada’s new tariff hike could increase the risk of a further escalation of the trade conflict between the two countries and provoke a new response from Washington.
This was reported by Bloomberg.
As a reminder, Canadian Prime Minister Mark Carney suspended comprehensive trade negotiations with the U.S. two weeks ago amid tariffs on key Canadian goods and threats by U.S. President Donald Trump to impose even higher tariffs next year. Annual trade between the countries exceeds $1.2 trillion, but negotiators on both sides of the border cannot recall such a tense atmosphere.
The Antitrust Division of the U.S. Department of Justice has reportedly been instructed to suspend all work with the Canadian government amid the trade dispute between the two countries. The Wall Street Journal reported this, citing emails.
