Canada announced on August 25 that it will impose retaliatory tariffs of up to 50% on approximately $20 billion worth of U.S. products in response to American tariffs. This marks a significant escalation in the trade conflict between the North American allies.
According to Reuters, the Canadian Ministry of Finance stated that it will apply varying tariffs of 15%, 25%, and 50% on about 700 U.S. products, totaling 27.6 billion Canadian dollars (approximately $20 billion). These tariffs will take effect on September 8.
The Canadian government described the move as a 'dollar-for-dollar' and 'rate-for-rate' response to the U.S. imposing a 50% tariff on Canadian goods worth about $20 billion starting August 22.
Specific products, such as U.S. steel and aluminum, will face the highest tariff rate of 50%. Other items, including appliances, cheese, and seafood, will incur a 25% tariff, while electronics and tools will be subject to a 15% tariff.
A Canadian government official explained that the tariffs are designed to protect Canadian consumers and businesses while also delivering a blow to the U.S.
Additionally, the Canadian government announced a support package worth 7.5 billion Canadian dollars (approximately $5.4 billion) for businesses and workers affected by the trade tensions.
Canadian Finance Minister François-Philippe Champagne stated, 'We did not want this conflict, but we must respond firmly when economic integration is weaponized instead of fostering mutual benefit.' He added that the current situation represents an unprecedented challenge forced upon Canada.
The tariff dispute intensified following the collapse of trade negotiations between the two countries last week. Previously, U.S. President Donald Trump imposed a new 50% tariff on Canadian imports worth $20 billion after talks to prevent such tariffs failed on August 22.
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.