Canada Rolls Back U.S. Tariffs, Easing Trade Tensions

Canada lifts majority of retaliatory tariffs on U.S. goods, reopens trade channels under CUSMA.

Following a renewed dialogue between PM Mark Carney and U.S. President Donald Trump, Canada has dropped most of its counter-tariffs on American imports that comply with the Canada–U.S.–Mexico Agreement (CUSMA).

Key Developments:

• Effective September 1, Canada removed retaliatory tariffs on a wide range of U.S. goods, including:
  • Florida orange juice
  • Microwaves, washing machines
  • Denim jeans, running shoes
  • Cosmetics, toothpaste, paper towels
• Duties on autos, steel, and aluminum remain in place, mirroring Trump’s recent hike from 25% to 35% on Canadian exports.
• Analysts expect grocery prices to drop soon, with small businesses breathing easier. A recent survey showed:
  • 58% of SMEs were hurt by the tariffs
  • 38% feared closure if the dispute lasted a year
• Trump called the move “nice,” hinting at further talks. Carney emphasized preserving Canada’s trade advantage and protecting domestic jobs.

(source globalnews.ca)

—Agencies