Customs tariffs

Information on tariffs imposed by the United States on Canadian products

Over the past months, the President of the United States, Donald J. Trump, has announced various tariffs on Canadian goods:

Reciprocal tariffs

• On February 20, 2026,the United States Supreme Court invalidated Donald J. Trump's reciprocal tariffs invoked in April 2025 under the International Emergency Economic Powers Act (International Emergency Economics Powers Act). This decision invalidates the 35% tariffs imposed on goods not compliant with the Canada-United States-Mexico Agreement (USMCA).
• On February 24, 2026,new 10% tariffs take effect on goods imported into the United States. Several categories are exempt, including goods compliant with the USMCA, certain critical minerals, as well as certain energy, agricultural, pharmaceutical products, and natural resources and fertilizers not available in sufficient quantities in the United States. The surcharge will remain in effect until July 24, 2026, unless modified or extended by Congress.

Sectoral tariffs

• 25% tariffs onauto parts not compliant with the USMCA and 25% on passenger vehicles and light trucks.
• Tariffs of25% on imports of medium and heavy trucks not compliant with the USMCA and 10% on buses and coaches compliant and non-compliant with the USMCA.
• Since April 6, 2026,25% tariffs on derivatives containing steel, aluminum, or copper, regardless of the share of metals they contain. Items made entirely or almost entirely of aluminum, steel, or copper will pay 50% on their total value (e.g., steel coils and aluminum sheets).
• Tariffs of50% on copper semi-finished products and derivative products with high copper content. Tariffs will not apply to copper scrap and copper-based raw materials such as copper ore, concentrates, mattes, cathodes, and anodes.
• Tariffs of45% on lumber and construction timber, and 25% on certain upholstered furniture, which will rise to 30% on the 1^st January 2026.

Canada's response: counter-tariffs imposed on American goods

The Government of Canada responded to these tariffs by imposing duties on various goods originating from the United States:

• 25% tariffs onsteel and aluminum.
• 25% tariffs onAmerican vehicles not compliant with the USMCA, as well as on the non-Canadian and non-Mexican content of American vehicles compliant with the USMCA. Note that Finance Canada grants a temporary exemption from counter-tariffs on imports to companies that depend on American inputs.
• Duties onAmerican goods not covered by the USMCA starting September 1. The Government of Canada is removing counter-tariffs on American goods covered by the USMCA.

The government wishes to put in placereciprocal procurement policies in order to reserve access to federal public procurement markets for Canadian suppliers and our reliable trading partners.

Canada's temporary relief measures for the automotive, health, and security sectors

On May 7, the Government of Canada published theUnited States Surcharge Remission Order (automotive vehicles, 2025)

This order aims to grant temporary relief from the 25% customs surtaxes on certain vehicles imported from the United States, in order to:

• Support Canadian automotive manufacturers
• Recognize the integration of the North American automotive industry
• Encourage production and investment in Canada

TheUnited States Surcharge Remission Order (2025) has also been published.

The order grants temporary relief from Canadian surtaxes on certain American products imported by Canadian entities (public or private) active in:

• Public health
• Healthcare
• Public safety
• National security

It also provides exemptions for:

• Products used in the manufacture, processing, or packaging of food and beverages
• Products essential to public health or healthcare

On October 17, the Government of Canada announcedthe two-month extension of the exemptions provided by the United States Surcharge Remission Order (2025).

• In addition to these changes, other duty relief measures on imports from the United States and China have been implemented for companies that meet strict conditions (e.g., shortages, contractual obligations).

On December 12, 2025, the government announced that the horizontal remittance of Canadian duties on imports from the United Stateswill again be temporarily extended for the following products:

• Until January 31, 2026: steel products used for the manufacture, processing, and packaging of food and beverages, as well as agricultural production in Canada, except for steel products used for the manufacture of motor vehicles, aerospace goods and their parts, for which the remittance is extended until June 30, 2026
• Until June 31, 2026, for aluminum products used for the manufacture, processing, and packaging of food and beverages, as well as agricultural production in Canada
• Until June 30, 2026, in the case of goods used for public health, healthcare, public safety, and national security purposes.