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Canada's counter-tariffs hit C$28bn of U.S. goods
September 8, 2026
Canada's retaliatory tariffs, running as high as 50%, now apply to nearly C$28bn of American products, weeks after Washington imposed 50% duties on $20bn of Canadian goods.
No two countries trade more with each other than Canada and the United States, whose exchanges came to nearly $900bn in 2025, and Canada ranks behind only Mexico as a buyer of American goods, taking 14% of U.S. exports.
Key facts
- Ottawa framed its retaliation as a response to Washington's move to place a 50% duty on $20bn worth of Canadian products starting August 22, according to the Canadian government.
- Census Bureau data show $175.8 billion in American goods went to Canada during the first six months of 2026, making it the country's second-largest export market behind Mexico and 14% of total exports.
- Rates reaching 50% will fall on roughly C$28bn ($20bn; £15bn) of goods from the United States, spanning steel, furniture and cotton T-shirts.
- Canadian exports headed to the United States fell to 66% of the total in July, down from roughly 75% in the period preceding the trade war.
- Canada unveiled the planned duties a fortnight ago, once negotiations fell apart and Washington carried out its warning of 50% levies on $20 billion of Canadian goods.
CBS News reports Canada set these tariffs in motion two weeks ago, once negotiations collapsed and the Trump administration made good on its threat of 50% duties on $20 billion of Canadian goods. The BBC puts the reach of the countermeasures at nearly C$28bn ($20bn; £15bn) of American products, with rates climbing to 50% and the list running from steel through furniture to cotton T-shirts. ABC News reports Canadian officials called their own duties matching ones, due to start in the second week of September. The Guardian reports the Canadian government pinned the package to Washington's 50% tariff on $20bn of Canadian goods effective August 22. The New York Times carries the same account.
On scale and effect the outlets line up closely. ABC News puts first-half 2026 U.S. goods sales to Canada at $175.8 billion, citing the Census Bureau, second only to Mexico among export markets and 14% of what the U.S. ships abroad. CBS News reports the two sets of duties reach only a small share of a border trade that ran past $700 billion last year. The Guardian reports Washington's levies land on goods such as hockey sticks and cement, touching about 5.5% of what Canada sells into the US. The BBC supplies the domestic numbers, reporting 41,000 jobs lost in August, a July share of US-bound Canadian exports at 66% against a 75% average before the trade war, and dozens of seafood items dropped from Ottawa's list after the fisheries industry objected. Officials in Canada have vowed to match the U.S. levies "dollar for dollar," CBS News reports. Both capitals say they want an agreement, the BBC reports, and neither has gone back to the table since talks fell apart in late August.
Where the accounts part company is framing rather than fact. Trump's executive order of Aug. 27 renaming Lake Ontario "Lake America" sits in the record either way. One account files it alongside a run of symbolic jabs at Canada that Canadians have thrown back; a competing account reports the order and leaves that pattern unstated. The coverage agrees on the order itself, the rates, the goods covered, the September start and the breakdown of talks. A return to negotiations is the piece nobody can report.
Trump has charged Canada with trading unfairly and said the country "wants the benefits of being a State, without being one."
Still developing
The route back to negotiations is unclear, with both governments saying they want a deal and no movement since talks collapsed in late August. The consumer price effect of the counter-tariffs, and how much of the 41,000 jobs lost in August traces to the dispute, are not established across the sources.
How settled the reporting is
Sources
- ABC News - Breaking News, Latest News and Videos — Canada's retaliatory tariffs hit US products as Trump warns of escalation
- BBC — US-Canada tariffs: Canada braces for prolonged trade war as counter-tariffs on US take effect
- CBS News — Canadian tariffs on U.S. milk, perfume, golf clubs and other goods take effect as trade war grinds on
- The Guardian — Canada’s retaliatory US tariffs take effect as trade dispute grows