Canada’s latest retaliatory tariffs on American goods are now in effect, marking another escalation in the ongoing trade dispute between the two countries.
The measures took effect just after midnight Tuesday, with Ottawa targeting roughly 28 billion dollars’ worth of U.S. goods.
The tariffs are a direct response to tariffs imposed by U.S. President Donald Trump on Canadian products last month.
Trump’s tariffs, announced August 22, apply to nearly 28 billion dollars in Canadian goods ranging from hockey sticks and cement to honey.
Canada’s response targets the same approximate value of American products and focuses on sectors affected by the latest U.S. measures.
Prime Minister Mark Carney has defended the retaliatory tariffs, saying Canada was left with little choice after trade negotiations between the two countries broke down.
The latest dispute followed unsuccessful talks aimed at addressing outstanding trade issues on both sides of the border. Both governments have blamed the other for last-minute demands that prevented an agreement.
What products are being hit?
The Canadian tariffs cover a wide range of American products, with rates varying depending on the type of goods.
Dairy
A 50 per cent tariff is being applied to a variety of American dairy products, including milk and cream, concentrated and sweetened dairy products, powders, whey and several milk and whey protein products.
Fresh cheese and curd are subject to a 25 per cent tariff, including a number of specific varieties such as cheddar, mozzarella, Swiss, Gruyère, Havarti, Parmesan, Camembert, brie and blue cheese.
Forestry and wood products
U.S. wood products are also being targeted, including softwood such as pine, fir and spruce, which are subject to a 25 per cent tariff.
Plywood and veneered panels made from various hardwoods and softwoods face a 50 per cent tariff.
Other paper and wood-related products are also affected. Depending on the specific product and size, tariffs of 25 or 50 per cent apply to items such as toilet paper, facial tissue and napkins, while most paper and paperboard, envelopes and corrugated boxes face a 50 per cent tariff.
Wooden household furniture is subject to a 50 per cent tariff, with kitchen furniture facing a 25 per cent levy. Ottawa has also added a 50 per cent tariff on American wood charcoal.
Steel, aluminum and copper
Multiple American steel and aluminum products are now subject to a 50 per cent tariff, up from the previous 25 per cent rate.
The affected products include steel rods, bars and sheets, as well as prefabricated products such as bridges, towers, scaffolding and door and window frames.
Aluminum wires, bars, rods and foil are also subject to the 50 per cent tariff. Ottawa has additionally imposed a 50 per cent tariff on various sizes of copper wire.
Canada originally imposed a 25 per cent tariff on American steel and aluminum products in March 2025 in response to U.S. tariffs. Trump later increased the U.S. tariff on Canadian steel to 50 per cent.
Trump has also threatened to raise tariffs on Canadian steel, aluminum and vehicles to 50 per cent starting January 1, 2027.
Cosmetics, clothing and textiles
A range of American beauty and personal-care products are now subject to tariffs of up to 50 per cent.
Those products include perfume, sunscreen and suntan products, lip and eye makeup, manicure and pedicure preparations and hair products.
A 50 per cent tariff also applies to a long list of clothing, including men’s suits and overcoats, T-shirts, dresses, track suits and ski suits. Protective clothing and hazardous-material suits are also included.
Certain handwoven rugs, tiles and carpets made from wool, animal hair and other textile materials face a 25 per cent tariff.
Other products
The new measures extend well beyond food and industrial products.
Smartphones, golf clubs and equipment, video game consoles, chandeliers and light fixtures, exercise equipment and fishing rods are among the products facing a 50 per cent tariff.
American natural honey and molasses are also subject to a 50 per cent tariff, along with certain plastic wall and ceiling coverings and a range of plastic bags, packaging, tableware and kitchenware.
Most air conditioners face a 15 per cent tariff, while a 25 per cent tariff applies to appliances including stoves, refrigerators, freezers, laundry machines, rice cookers, bread makers, grills and cooking plates.
Certain tower cranes, jacks, hoists, forklift trucks and lawn mowers face tariffs of 15 or 25 per cent. Rail locomotives, train parts and railway maintenance vehicles are subject to a 25 per cent tariff, while motorcycles face a 50 per cent levy and trailers and semi-trailers face a 25 per cent tariff.
Canada looks to domestic production
Carney has argued that the trade dispute is also an opportunity for Canada to become more self-reliant and reduce its dependence on the United States.
The prime minister has pointed to recent investments and contracts aimed at increasing domestic production.
In a Labour Day statement, Carney said Canada was working to build more products domestically while also diversifying its trading relationships.
Conservative Leader Pierre Poilievre has called for greater transparency from the federal government, saying Canadians should be given more information about the economic impact of the retaliatory tariffs.
The latest tariffs come as tensions between Ottawa and Washington remain high, with Trump continuing to criticize Canada and pushing his long-standing proposal for Canada to become the 51st U.S. state.
The two countries remain deeply economically connected, meaning the impact of the latest tariffs could extend beyond the businesses and products directly named in the measures.
