Canada Lifts Tariffs on U.S. Imports Under the Canada - United States - Mexico Agreement

Canadian Prime Minister Mark Carney announced that Canada has removed its 25% retaliatory tariffs on U.S. imports specifically covered under the Canada–United States–Mexico Agreement (CUSMA). The move follows Washington’s confirmation that compliant Canadian exports will not face U.S. IEEPA tariffs.

Carney hailed the step as a “positive development,” noting that over 85% of Canada–U.S. trade is now tariff-free and emphasizing that “Canada currently has the best trade deal with the United States.” The Prime Minister stressed Canada’s broader objectives: protecting workers, reinforcing competitiveness, and building the G7’s strongest economy.

While Ottawa seeks progress on unresolved issues in steel, aluminum, and autos, internal frictions remain. Except in Alberta and Saskatchewan, provincial liquor boards show little interest in resuming purchases of U.S. alcohol. Ontario’s Premier bluntly stated, “It’s still going to be banned until they cut the tariffs, or we make a deal with them.”

Source: The Globe and Mail

Photo credit: Freepik