Canada has announced retaliatory tariffs on roughly $19.9 billion worth of American goods, escalating a trade dispute triggered by US tariffs of 50 percent on Canadian products. The counter-measures target more than 700 items and take effect on September 8.
The affected goods span steel, aluminium, dairy, appliances, agricultural equipment, pulp, paper, plastics and electronics, with rates ranging from 15 to 50 percent, after trade negotiations collapsed.
Alongside the tariffs, Canada established a support fund of about $5.42 billion to help small and medium-sized businesses absorb the shock.
The confrontation deepened with Washington’s plan to double auto tariffs from January 2027, threatening the integrated North American supply chain and raising costs for consumers.
For Asia-Pacific exporters, the dispute is a cautionary tale about how quickly established trade relationships can fracture when protectionism takes hold.
