Canada imposes tariffs on US dairy and seafood
Canada’s Department of Finance announced the measures on 25 August after trade negotiations with Washington ended without an agreement. The United States had proceeded with a 50% tariff on Canadian goods, including alcohol and dairy products.
Ottawa said its response would follow a “dollar for dollar, rate for rate” approach. The counter-tariffs cover C$27.6bn ($19.91bn) of US imports and are directed at sectors the Canadian government described as most affected by US duties. These include steel, dairy, appliances, agricultural equipment, pulp and paper, and electronics.
The Canadian measures will take effect on 8 September. Products will be charged at 15%, 25% or 50%, according to the corresponding US tariff rate. Goods listed for a 25% Canadian duty include cheese, fish and seafood, along with appliances and some steel and aluminium derivative products.
Milk powder and whey protein concentrate are among the dairy products facing 50% tariffs. Selected cheese products, including cheddar, parmesan and mozzarella, will carry duties of 25%. The seafood list subject to 25% tariffs includes Pacific and Atlantic salmon, swordfish, trout, tuna and sardines.
The measures followed a short delay by Washington the previous week. US President Donald Trump said the two countries had reached a deal, subject to finalising documents, but implementation of the 50% tariffs was postponed for only three days. No final agreement was concluded, and the duties on Canadian goods entered into force over the weekend.
Prime Minister Mark Carney said on 22 August that Canada had suspended negotiations after the US proposed terms that were “uneconomic, unfair and undermined the net benefits to Canada”. Finance minister François-Philippe Champagne said Ottawa had chosen to “stand up for Canadians” when the United States “asked too much and offered too little”.
Alongside the tariffs, Canada announced a C$7.5bn support package for affected workers and businesses. It includes liquidity assistance for small and medium-sized companies, a diversification fund and measures to retain workers. Existing Canadian counter-tariffs on US goods, including automobiles, will remain in place.
