"Dollar for dollar"/ Canada responds to Trump, imposes retaliatory tariffs on US goods

2026-08-25 22:28:00 / BOTA ALFA PRESS

"Dollar for dollar," Canada imposes retaliatory tariffs

On Tuesday, Canada retaliated with retaliatory tariffs on about $20 billion worth of U.S. imports and introduced support measures for businesses and workers, responding to Washington's latest tariffs equally, dollar for dollar.

The retaliatory tariffs on American goods take effect on September 8 and impose taxes of 15%, 25% and 50% on about 700 products imported from the neighboring country to the south, a government statement said.

New 50% tariffs imposed by US President Donald Trump on $20 billion worth of Canadian imports took effect on Saturday, after talks between the two countries failed.

These new reciprocal tariffs mark a low point in relations between the long-time allies; earlier Tuesday, Trump even threatened to rename Lake Ontario — which straddles both countries — "Lake America."

"Our retaliatory tariffs – dollar for dollar and rate for rate – as well as a multi-billion dollar support package, will protect workers, farmers, families and businesses," said Canadian Finance Minister François-Philippe Champagne.

The White House and the U.S. Trade Representative did not respond to a request for comment.

Canada imposed 50% tariffs on steel, aluminum, furniture and clothing; 25% tariffs on cheese, household appliances and some seafood; and 15% tariffs on electronics and tools, a Canadian government official told reporters.

Trump's new tariffs are relatively limited in scope, affecting about 5% of Canadian exports to the United States. However, trade analysts say they could have severe and concentrated consequences for some sectors that are already struggling, such as the wood products industry — particularly for kitchen cabinet makers.

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