Canadian Counter-Measures to US Tariffs: Which Ones Remain in Place?

Canadian Counter-Measures to US Tariffs: Which Ones Remain in Place?
A sign is placed in front of the American whiskey section at a B.C. Liquor Store after top selling American made products have been removed from shelves in Vancouver, Feb. 2, 2025. THE CANADIAN PRESS/Ethan Cairns
Jennifer Cowan
Updated:
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A trade war between Canada and its largest trading partner officially began just after midnight on March 4, but the continuously changing circumstances have compelled politicians nationwide to reassess their strategies in response to U.S. President Donald Trump’s tariffs.

Trump started off the week by slapping 25 percent tariffs on items imported from Canada with a lower rate of 10 percent on Canadian energy products. He announced the following day, March 5, the auto sector would receive a reprieve until April 2.

Then, on March 6, Trump signed another executive order to modify the tariffs he had placed on Canadian goods just two days earlier. The amendment allowed goods covered by the United States–Mexico–Canada Agreement (USMCA) to be exempt from the 25 percent tariffs.

The nearly 38 percent of goods imported from Canada that fall under the USMCA will now not be subject to tariffs until April 2. Much of the 62 percent not included in the agreement pertains to energy imports, which are currently subjected to a 10 percent tariff.

Despite the partial pause, most counter-measures to the U.S. tariffs in Canada still remain in place.

Federal

Like its American counterpart, the Canadian government is pausing only some of the tariffs it planned to levy on U.S. products.

Ottawa will leave the $30 billion worth of tariffs it slapped on American goods earlier this week in place, but will not proceed with its second round of $125 billion in tariffs as originally planned, Finance Minister Dominic LeBlanc said.

The remaining $125 billion in tariffs, which was set to take effect on March 25, has been postponed until April 2, the same date on which Trump’s partial tariff exemption for Canada will expire.

Ontario

Premier Doug Ford has said the temporary suspension of tariffs will not alter any of the province’s retaliatory actions, emphasizing that only a full elimination of the taxes would prompt a reversal of these measures.
The province will move ahead with a 25 percent tax on the electricity sent to roughly 1.5 million customers in three northern states starting early next week, Ford said in a March 6 interview with Fox News.

The premier has said the tax is set to take effect on March 10.

Ontario has also removed all American alcohol from its provincially run liquor stores, is terminating the province’s $100-million contract with Elon Musk’s Starlink internet service, and is banning U.S. procurement contracts.

Quebec

Quebec implemented a number of measures on March 4 in response to the U.S. tariffs and has yet to say whether it will pause any of them.
“We are currently reviewing the exemptions announced by Donald Trump today and are assessing the impact of the tariffs that will remain in effect,” Premier François Legault said in a March 6 social media post.

Legault announced earlier this week that the province’s liquor corporation, the SAQ, would remove all American alcohol from its shelves and halt the distribution of these products to grocery stores, agencies, bars, and restaurants.

American firms participating in public tender processes in Quebec will also face penalties, he said. Bids from U.S. companies that are not already established in Quebec will incur penalties of up to 25 percent.

British Columbia

Like Ford, Premier David Eby has also said Trump’s reprieve on some tariffs will not affect B.C.’s response.

The province has removed alcohol produced in U.S. states from B.C. liquor stores, has reduced the priority given to U.S. contractors bidding on provincial contracts, and has instituted a government-wide directive to avoid buying American products.

The province has additional measures in the pipeline, which include the introduction of tolls for U.S. trucks travelling through British Columbia en route to Alaska. The tolls must be voted on in the legislature before they can be enacted.

Alberta

Premier Danielle Smith announced a series of actions on March 5 that her province intends to undertake in response to the tariffs. The government must now determine whether to change its counter-measures in response to Trump’s partial reprieve, Smith said during a March 7 speech at the Alberta Municipalities spring summit.

Smith said more details will be released later today, but had not made an announcement prior to publication time.

If the measures remain in place, the province’s liquor and gaming agency will no longer buy U.S. alcohol or video lottery terminals and Alberta will suspend the procurement of U.S. products and services for government purposes.

The province will also mandate that all goods and services “be purchased from Alberta companies, from Canadian companies, and from countries with which Canada has a free trade agreement that is being honoured,” Smith said.

Smith has said she would not support cutting or taxing energy exports to the United States.

Saskatchewan

Premier Scott Moe’s office has said the province will move ahead with measures introduced by the province on March 5, but is examining the details of Trump’s amendment.

The Epoch Times contacted the province for comment on its plans but did not receive a response prior to publication.

Moe announced earlier this week Saskatchewan would prioritize Canadian suppliers when purchasing goods and services, with the goal of reducing or entirely eliminating purchases from the United States.

Provincial liquor stores will also stop purchasing U.S. alcohol and the lottery and gaming agency has been instructed to find non-American suppliers for the more than $40 million worth of upgraded video lottery terminals and slot machines it plans to purchase this year.

Manitoba

Premier Wab Kinew says his government will adopt a “buy Canadian” approach to prioritize Canadian companies and will also be looking into contracts for the sale of hydroelectricity to the United States.

He told reporters on March 6 that all counter-measures announced by the province earlier this week will remain in effect, including the American alcohol ban.

“We are taking U.S. alcohol off the shelves in Manitoba Liquor Marts,” Kinew said in a March 4 post on the X platform.
The provincial plan to offer tax deferrals to affected Manitoba businesses will also remain in place, the premier said.

Nova Scotia

Premier Tim Houston has said that Trump’s partial tariff pause is not reason enough to eliminate the retaliatory measures his province has put in place.
“We will not jump to the whims of President Trump,” he said in a March 6 social media post. “A potential pause on tariffs isn’t good enough.”

The province’s plan to remove American alcohol from Nova Scotia Liquor Corporation outlets shelves will continue, Houston said.

The province has also increased tolls for U.S. commercial vehicles and is limiting access to provincial procurement for American businesses, he added. Companies based in the United States are no longer eligible to submit bids for provincial contracts, and the government is investigating options to annul existing agreements and reject American bids outright.

New Brunswick

Premier Susan Holt announced a similar stance, saying that her province will continue as planned with the removal of American alcohol from New Brunswick Liquor Corporation shelves.
“We said NB wouldn’t be bullied and we won’t back down,” Holt said in a March 6 post. “Despite the tariff pause announced by Trump today, our government will .. keep pushing to knock down interprovincial trade barriers, diversify markets and implement our action plan to ensure that New Brunswickers are ready for what comes next.”
The province will also refrain from entering into new contracts with American companies as long as the trade conflict persists, she said.

Newfoundland and Labrador

Premier Andrew Furey says he is focusing his efforts on forging a stronger connection with the United Kingdom and the rest of Europe as part of the government’s plan to reduce trade dependence on the United States.
“Our province has incredible resources and opportunity, and we are strengthening our connections here in London and the rest of Europe, particularly in light of the situation the U.S. has created,” Furey said in a March 7 social media post.

He added in a subsequent post that his province will “keep standing strong” against the U.S. “as long as the threats to our Canadian sovereignty and unjustified tariffs continue.”

Like other Canadian promises, Newfoundland and Labrador is removing all U.S. products from its liquor stores and will be ending future procurement projects with the U.S. and examining existing ones.

The province is also supporting local and Canadian-made products as much as possible.

Prince Edward Island

Premier Rob Lantz announced his province’s response to the tariffs on March 4, and has not said if his government would continue to implement the measures.

Like its provincial peers, P.E.I. has removed all American products from its Liquor Control Commission’s shelves and catalogue and is evaluating all current and prospective agreements with businesses and organizations in the United States. The province also has plans to limit procurement for U.S.-based companies in the future, the government said in a March 4 statement.