Canada counters 50% US tariffs, putting Canadian-made cars under strain
Ottawa’s retaliatory tariffs begin Sept. 8 and target US steel, dairy, farm equipment, paper and electronics.
Canada is preparing retaliatory tariffs after the United States imposed 50 percent tariffs on about US$20 billion worth of Canadian goods and stepped up pressure on the auto sector. Prime Minister Mark Carney said Ottawa will respond “dollar for dollar,” with countermeasures taking effect on 8 September. The targets include steel, dairy products, household appliances, farm equipment, pulp and paper, and electronics. Carney said Washington changed the terms at the last minute, including cutting tariff relief for vehicles made in Canada. On the other side, Jamieson Greer and JD Vance blamed Canada for the collapse of negotiations. The dispute has shaken the integrated North American auto supply chain and raised fresh questions about the future of USMCA.