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Canada to place retaliatory tariffs on US goods

Welcome to The Hill’s Business & Economy newsletter {beacon} Business & Economy Business & Economy The Big Story Canada strikes back with retaliatory tariffs Canada announced retaliatory tariffs on hundreds of American products as high as 50 percent Tuesday, just days after the collapse of negotiations between the two countries. © Justin Tang/The Canadian…

· 694 words· updated August 25, 2026 at 05:28 PM
U.S. and Canadian flags are displayed before an event with Ontario Premier Doug Ford and the U.S. Chamber of Commerce, Feb. 11, 2025, in Washington. (Mark Schiefelbein, Associated Press file)
U.S. and Canadian flags are displayed before an event with Ontario Premier Doug Ford and the U.S. Chamber of Commerce, Feb. 11, 2025, in Washington. (Mark Schiefelbein, Associated Press file)

Canada strikes back with retaliatory tariffs

Canada announced retaliatory tariffs on hundreds of American products as high as 50 percent Tuesday, just days after the collapse of negotiations between the two countries.

Canadian Finance Minister François-Philippe Champagne said Canada will match the U.S.’s tariffs “dollar for dollar, rate for rate.” The tariffs would take effect Sept. 8.

He said the 15 percent, 25 percent and 50 percent tariffs will be on $27.6 billion of imports from the U.S.

“For each product, our tariff will match the American tariff on the same type of Canadian good,” he said.

Arguably the biggest measure is Canada doubling its tariffs on U.S. steel and aluminum to 50 percent to match the 50 percent the U.S. put on Canadian steel and aluminum.

“Those tariffs will have real consequences for Canadian workers, businesses, and communities across our nation,” Champagne said of the U.S. tariffs. “Canada must respond, and today we are in a proportionate, targeted, and strategic way.”

He said the countertariffs “are designed primarily to provide protection for Canadian industries impacted by the U.S. tariffs and allow them to compete against U.S. products in the Canadian market.”

Canada released a list of over 700 items that will be targeted with tariffs ranging from live fish, frozen fish, cheese, some apparel, carpets and metal products made of steel or aluminum, among others.

The U.S.’s 50 percent tariffs went into effect on Saturday across over $20 billion of Canadian imports after negotiations collapsed late Friday.

The Hill’s Mallory Wilson has more here .

Welcome to The Hill’s Business & Economy newsletter , I’m Julia Shapero — bringing you the latest on the intersection of Wall Street and Pennsylvania Avenue.

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Key business and economic news with implications this week and beyond:

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Hillary Clinton says Republicans ‘secretly cheering’ for Mark Carney amid US-Canada trade negotiation

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Target pulls costume critics say evoked blackface, minstrel shows

Target pulled a Halloween costume from its online marketplace Monday after critics said it looked like a minstrel show character.

China: New US sanctions on Iran ‘will only further intensify tensions’

Chinese Foreign Ministry spokesperson Lin Jian said Tuesday the latest U.S. sanctions on Iran “will only further intensify tensions” between the two countries.

Upcoming news themes and events we’re watching:

The Bureau of Economic Analysis releases personal consumption expenditures (PCE) price index data Wednesday at 8:30 a.m. EDT

Federal Reserve Chair Kevin Warsh gives remarks before the Jackson Hole Economic Policy Symposium on Friday at 10:00 a.m. EDT.

Branch out with more stories from the day:

Trump eyes changing Lake Ontario name amid trade war with Canada

President Trump said Tuesday his administration is considering changing the name of Lake Ontario to Lake America, amid the trade war between the U.S. and Canada.

Business and economic news we’ve flagged from other outlets:

Regulators probing near-collapse of hedge fund Situational Awareness ( Wall Street Journal )

U.S. consumer confidence falls in August, Conference Board says ( Reuters )

Trump approval reaches record low in new survey

President Trump’s approval rating for his second term has reached a new low, according to a new poll. Read more

Trump orders flags to half-staff for a week in honor of Dolly Parton

President Trump has ordered all American flags to be flown at half-staff in memory of Dolly Parton, who died Tuesday at the age of 80. Read more

Opinions related to business and economic issues submitted to The Hill:

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