The first phase of the tariffs will take effect on Feb. 4, impacting $30 billion worth of goods originating from the United States, including poultry, meats, dairy products like yogurt and whey, eggs, and various crops such as vegetables, fruit, wheat, and barley.
It will also target a range of alcoholic beverages, including wine, beer, and spirits, as well as tobacco products like cigars, cigarettes, tobacco refuse, and other nicotine-containing products.
Other goods affected include certain firearms, such as sporting shotguns and rifles, as well as spring, air, or gas guns; truncheons; and munitions, including bombs, grenades, missiles, mines, and ammunition.
Additionally, the tariff will cover clothing, footwear, and makeup, along with a variety of lumber and wood products, diamonds, silver, platinum, machinery, motorcycles, and drones.
- Cosmetics and body care: $3.5 billion
- Appliances and other household items: $3.4 billion
- Pulp and paper products: $3 billion
- Tires: $2 billion
- Plastic products: $1.8 billion
- Precious gems and metals: $1.7 billion
- Furniture: $1.6 billion
- Wood products: $875 million
- Coffee: $714 million
- Grains: $600 million
- Wine, grape spirits, and other products: $589 million
- Cocoa products: $569 million
- Tools and cutlery: $560 million
- Dairy: $555 million
- Sugar and sugar-containing products: $542 million
- Sauces and dressings: $517 million
- Fruits: $512 million
Second Phase
The $30 billion list marks the first phase of Canada’s $155 billion countermeasure following U.S. President Donald Trump’s Feb. 1 orders to impose a 25 percent tariff on Canadian goods and a 10 percent tariff on Canadian energy entering the United States, effective Feb. 4.Canada intends to impose tariffs on an additional list of imported U.S. goods worth $125 billion as the second phase of its tariffs. A full list of these goods will be made available for a 21-day public comment period before implementation, giving Canadian businesses time to adjust to the impact.
Trump cited national security concerns for imposing the tariffs on Canada and Mexico, including the influx of illegal immigrants and illicit drugs, particularly fentanyl, from those two countries’ shared borders with the United States. He also imposed an additional 10 percent tariff on China, on top of existing tariffs, citing concerns about entry into the United States of China-made precursor chemicals for producing fentanyl. In imposing the tariffs, Trump has also cited trade deficits as a source of concern.
Responses From Provinces
Some Canadian premiers have joined in the move to implement retaliatory measures, including Ontario Premier Doug Ford, who announced plans to remove American alcohol from store shelves in his province.As the province’s sole alcohol wholesaler, the LCBO will also remove American products from its catalogue so as to block Ontario restaurants and retailers from ordering or restocking U.S. products, Ford said.
Nova Scotia Premier Tim Houston said his province will limit access of American businesses looking for government contracts, and will double tolls at the Cobequid Pass for commercial vehicles from the United States. He has also ordered that all U.S. alcohol come off the shelves by Feb. 4.
Calls From Opposition
During a Feb. 2 press conference, Conservative Party Leader Pierre Poilievre urged the Liberal government to recall Parliament, which was prorogued on Jan. 6 by the Governor General at Trudeau’s request while his party engages in a leadership race to replace him. Parliament is set to resume on March 24.His proposed plan includes levying a dollar-for-dollar retaliation against the United States, carefully targeting those tariffs to maximize the impact on American companies while minimizing the impact on Canadians. Poilievre called for returning the money raised from the tariffs to workers and businesses, and called for removing barriers for resource development projects. He also called for passing an emergency “massive tax cut” to encourage investment, energy production and export, and homebuilding.
Trudeau has said Canada may consider non-tariff responses, which could involve Canada’s critical mineral and energy exports.