To Hit Back at Donald Trump’s Trade War, Canada Targets Products That Hurt Americans Most

Canada is preparing to strike at products tied to politically sensitive U.S. states as it retaliates against Donald Trump’s trade offensive. With U.S. midterm elections approaching, Prime Minister Mark Carney’s government is focusing on goods from states such as Wisconsin, Vermont and Iowa.

Carney unveiled a list of about 700 American products that will face Canadian tariffs from Sept. 8, the day after Labor Day in North America. The measures will range from 15% to 50% and cover imports valued at 27.6 billion Canadian dollars, or about 17 billion euros.

The sharpest increases target sectors already exposed to the dispute. American steel and aluminum will face tariffs of 50%, up from 25%. Clothing and furniture will also receive a 50% surcharge. Canada is directing attention toward industries with strong regional and political ties, including dairy farming in the United States.

Finance Minister François-Philippe Champagne defended the response after Trump imposed 50% tariffs on Canada. "The United States demanded too much and offered too little. Our tariff countermeasures, equivalent dollar for dollar and rate for rate, as well as our package of support measures worth several billion dollars, will protect workers, farmers, families and businesses," he said.

The Canadian measures combine retaliation with domestic support, as Ottawa seeks to cushion the effects on its own economy while putting pressure on American producers. The dispute now extends beyond headline tariff rates to products selected for their impact in key Republican states.

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The United States demanded too much and offered too little. Our tariff countermeasures, equivalent dollar for dollar and rate for rate, as well as our package of support measures worth several billion dollars, will protect workers, farmers, families and businesses.