Canada retaliated against US President Donald Trump’s global tariffs on steel and aluminum by releasing a new package of retaliatory tariffs against $20.7 billion (C$29.8 billion) worth of US imports. The new levies, to be imposed on steel and aluminum imports, represent C$15.6 billion of the overall total and will remain in place until the US removes its 25% tariffs on Canadian metals.
The current round of tariffs is the second wave of Canada’s response to US trade policy. Before this, Canada had slapped counter-tariffs worth C$30 billion, targeting American goods such as whiskey, orange juice, and more. This time, however, the goods targeted have expanded hugely beyond metals to include a very large number of items, ranging from luxury goods to recreational gear.
Among the surprise entries onto the list are products related to one of Trump’s favorite pastimes: golfing. Tariffs now apply to golf clubs and golf balls, which are primarily made by leading US brands such as Topgolf Callaway Brands Corp. and Acushnet Holdings Corp. Other recreation items like racket-sport equipment, fishing rods, skis, and wheeled toys for kids have also been targeted. Even carnival rides like bumper cars and roller coasters and video game consoles are now subject to the new tariffs.
Canada’s comprehensive tariff schedule also includes various luxury items such as gold, platinum, pearls, gems, and ceramics. Most common household items are also affected, such as data-processing machines, telephones, microphones, loudspeakers, heaters, motorcar windows, kitchen utensils, wristwatches, printers, and lighting fixtures. Surprisingly enough, even brooms, brushes, and combs are among the articles subject to paying higher import duty.
The new tariffs are merely the latest of Canada’s ongoing efforts to counter what it sees as unjust US trade actions, namely those targeted at its steel and aluminum industries. The move comes against the backdrop of increasing tensions between the two neighbors, with each side continuing to exchange tariff steps in an intensifying trade war.
The tariffs will stay in effect until the US lifts its current steel and aluminum tariffs, which have put pressure on the trade relationship between the US, Mexico, and Canada. The Canadian government has stated that it will continue to closely monitor the situation and take further action as required to defend Canadian industries.
As the trade war continues to pick up steam, both countries are gearing up for its next round, with businesses on both sides of the border stuck in limbo by tariffs. Canada’s new tariff rate schedule shows how extensive the dispute is, as it reaches almost everything from champagne to toothbrushes.
