Customs Tariffs Monitoring Committee

June 3:

• Adjusting Imports of Aluminum and Steel into the United States – The White House

May 28 : 

In a ruling published on Wednesday, a U.S. court specializing in international trade issues blocked Donald Trump’s so-called reciprocal tariffs on all goods entering the United States. Click here to view the decision.

April 2 : Executive order respecting the application of the reciprocal tariffs on imports: Regulating Imports with a Reciprocal Tariff to Rectify Trade Practices that Contribute to Large and Persistent Annual United States Goods Trade Deficits – The White House  

Two annexes are available in the order:

• Annex-I.pdf Reciprocal Tariffs by Country
• Annex-II.pdf Goods not subject to tariffs

March 6 : Executive Order — Donald J. Trump

• Amendment to Duties To Address the Flow of Illicit Drugs Across Our Northern Border

April 22, 2025 :

In light of the significant changes in economic conditions, particularly with respect to tariffs, the Government of Canada has introduced temporary measures to support affected workers.

The waiting period will be waived for all employment insurance claims submitted between March 30, 2025 and October 11, 2025, and the rules around treatment of termination moneys will be suspended for six months.

For more information :

• The Government of Canada introduces new employment insurance measures to support Canadian workers impacted by foreign tariffs
• Digest of Benefit Entitlement Principles
• Temporary Employment Insurance measures to respond to major changes in economic conditions

• Import Duties on Imports of Aluminum and Aluminum Derivative Products
• Import Duties on Imports of Steel and Steel Derivative Products

June 3, 2025:

In continuation of his tariff offensive, U.S. President Donald Trump signed a document on Tuesday officially enacting the increase that will raise tariffs on imported steel and aluminum to 50% starting Wednesday.

As the leading exporter of steel and aluminum to the United States, Canada will be particularly affected by this significant hike in tariffs.

Back in March, President Trump had already imposed a 25% tariff on all countries exporting steel and aluminum to the U.S., including Canada and Mexico.

Source: Radio-Canada Info (Sophie-Hélène Leboeuf) - Trump Formalizes Doubling of Tariffs on Steel and Aluminum | Radio-Canada

The Executive Order
Adjusting Imports of Aluminum and Steel into the United States – The White House

Canada’s Response
The Minister responsible for Canada–U.S. relations stated that he raised Canada’s concerns about the increased tariffs on steel and aluminum during his meeting with U.S. Secretary of Commerce Howard Lutnick on Tuesday in Washington.

Dominic LeBlanc had flown to the U.S. capital Monday evening to meet with Mr. Lutnick on Tuesday. According to information obtained by Radio-Canada, the meeting was originally intended to focus on broader trade negotiations.

However, it took place just as Donald Trump was signing the presidential order to formalize the tariff hike. He had announced last Friday his intention to raise the tariffs from 25% to 50%.

Source: Radio-Canada Info (Joëlle Girard) - Steel and Aluminum Tariffs: “We’ve Expressed Our Concerns,” Says LeBlanc | Radio-Canada

May 29, 2025

The U.S. Court of Appeals for the Federal Circuit suspends enforcement of the U.S. Court of International Trade's decision until the merits of the case.

Here are the sources:

• U.S. appeals court reinstates Trump tariffs for now | CBC News
• Incidental C.A. decision: V.O.S. SELECTIONS, INC. v. TRUMP

May 28, 2025

U.S. court blocks Trump’s “reciprocal” tariffs

In a ruling published on Wednesday, a U.S. court specializing in international trade issues blocked Donald Trump’s so-called reciprocal tariffs on all goods entering the United States.

The U.S. Court of International Trade, based in New York, ruled that only Congress can regulate commerce with foreign nations. Donald Trump therefore did not have the authority to impose tariffs ranging from 10% to 50% on nearly every country in the world on April 2.

The President cannot invoke the International Emergency Economic Powers Act of 1977, that Trump cited to justify the use of executive orders to implement these tariffs, to impose sweeping tariffs on goods from nearly every country, according to the ruling, which the AFP was able to consult.

Reply from the White House

A White House spokesman denounced the decision made by unelected judges who do not have the power to decide how to properly address a national emergency.

President Trump pledged to put America First, and the Administration is committed to using every lever of executive power to address this crisis and restore American Greatness, spokesman Kush Desai said in a statement.

The court was ruling on two lawsuits filed in recent weeks, one by an alliance of 12 U.S. states, including Arizona, Oregon, New York and Minnesota, the other by a group of U.S. businesses.

Click here to view the decision.

(Source: Radio-Canada Info, Agence France-Presse, May 28, 8:15 PM)

May 12, 2025:

After two days of negotiations in Geneva, the United States and China have agreed to pause their trade war for 90 days.

The world’s two leading economies indicated in a joint statement that this pause will take effect by May 14.

Both sides have agreed to drop the tariff rates they had imposed by 115 percentage points. As such, this decision temporarily reduces American tariff rates on Chinese goods to 30% and Chinese tariff rates on American goods to 10%.

(Source: CBC, The Associated Press)

April 15, 2025:

Automakers in Canada

The Canadian federal government announced that automakers that continue to manufacture vehicles in Canada will get an exemption from Ottawa’s retaliatory tariffs. This measure aims to protect the Canadian automotive industry in the face of the U.S. tariffs imposed by the Trump administration. Automakers will be allowed to import U.S.-assembled vehicles that comply with the Canada-United States-Mexico Agreement (CUSMA) free of the countermeasure tariffs. However, the number of exempted vehicles will drop if there are reductions in Canadian production or investment.

This decision occurs amid trade tensions between the two countries, with Ottawa seeking to preserve the integration of the North American automotive sector and mitigate the economic impact of tariffs.

(Source: Press conference of François-Philippe Champagne, Minister of Finance)

April 10, 2025:

Canada’s position remains unchanged and is not affected by President Trump’s April 9 announcements.

April 9, 2025:

Donald Trump announces on his Truth Social account that he is reducing the reciprocal tariffs announced on April 2 to 10% for 90 days to allow for negotiations with 75 countries.

As for China, he announces an increase in customs duties on Chinese products to 125%.

Confusion Surrounding Tariffs on Canadian Exports

In response to inquiries regarding Canada and Mexico, Secretary of Treasury Scott Bessent affirmed that the 10% tariff also applies to both countries.

The situation remains to be clarified, as the two North American partners of the United States, already subject to other types of tariffs since last month, were nonetheless exempt from tariffs falsely represented as punitive.

Their exports, which are not covered by the Canada-United-States-Mexico Agreement (CUSMA), are subject to tariffs of 10% or 25% in the case of Canada and 25% in the case of Mexico.

Minister of International Trade Dominic LeBlanc was in contact with Secretary of Commerce Howard Lutnick this afternoon, according to Radio-Canada sources.

April 3, 2025

Canada was spared from this new wave of tariffs, but the 25% tariff on vehicle imports announced in March by the U.S. president has come into effect.

Reply from the Prime Minister of Canada, Mark Carney

Mark Carney announced at a press conference that Canada will impose a 25% tariff on all vehicles imported from the United States that do not comply with the Canada-United States-Mexico Agreement (CUSMA), with the exception of automotive parts which are essential to Canadian industry. 

The Prime Minister ensured that “every single dollar raised from these tariffs will go directly to support our auto workers”.

Five keys to understanding the April 2 announcement:

https://www.ledevoir.com/economie/863146/retenir-annonce-donald-trump-tarifs-douaniers (Sarah R. Champagne)

1. What new tariffs were announced on Wednesday?

U.S. President Donald Trump announced a “minimum” 10% tariff on all imports, effective April 5. Around 60 countries will also be hit with steeper tariffs on April 9, in this latest round of punitive tariffs. The baseline rate of 10% is in addition to the surtax for all countries directly subject to the "reciprocal" tariffs.

2. How are these tariffs calculated?

China 34%, European Union 20%, Vietnam 46%, Taiwan 32%, United Kingdom 10%, South Africa 30%, Israel 17% and Chile 10%.

3. Is Canada included?

Canada and Mexico are exempt from these new tariffs. Since the beginning of March 10% tariffs have been imposed on Canadian energy, critical minerals, potash and aluminum, and 25% on all other imports from Canada and Mexico, with the exception of products covered by the Canada-United States-Mexico Agreement (CUSMA). According to U.S. officials, Canadian imports under CUSMA account for 38% of total Canadian goods shipped to the U.S. in 2024.

The additional 25% tariff on all vehicles and auto parts imported into the United States is also scheduled to take effect at midnight on Wednesday. It seems that Canada will not be spared; no exemption was specified at the time of writing. It will severely impact the Canadian automotive industry.

4. Can the President act in this way without the approval of Congress?

Donald Trump had to invoke emergency powers under a federal statute dating back to 1977, the International Emergency Economic Powers Act (IEEPA). This order aims to address a “national emergency arising from conditions reflected in large and persistent annual U.S. goods trade deficits” as stated in a fact sheet issued to the press. The Act can be used in response to an unusual and extraordinary threat and allows for restrictions on trade with other countries.

The order made under the IEEPA also contains a provision allowing him to raise or lower tariffs depending on the reactions of trading partners.

5. What will be the impact of these new measures?

Hyperinflation? Recession? Higher prices for consumers? In all cases, economists expect significant uncertainty, which will further complicate negotiations with the United States.

March 26, 2025:

Trump announces new 25% tariffs on the automotive industry

These tariffs will apply to “all cars that are not made in the United States,” the U.S. President said at the White House, adding that they will take effect “on April 2” and that “we will begin collecting duties on April 3.”

“We’re going to charge countries for doing business in our country and taking our jobs, taking our wealth […] What we’re going to be doing is a 25 per cent tariff on all cars that are not made in the United States. But if you build your car in the United States, there is no tariff,” declared Trump.

Reaction from the Prime Minister of Canada, Mark Carney

Reacting to the news, the Canadian Prime Minister announced he would soon have a call with Donald Trump. Mark Carney has not talked to the U.S. President since taking office as Prime Minister.

Carney called the move a “direct attack” on Canadian workers and stated that “we will defend our workers, we will defend our companies, we will defend our country.”

This is in addition to the current 2.5% tariff, meaning that imported vehicles will now face a total tax of 27.5% of their value.

(Source: Agence France-Presse in Washington, Le Devoir)

March 12, 2025:

Canada Responds to U.S. Tariffs on Steel and Aluminum

On Wednesday, the Canadian government announced its response to the 25% U.S. tariffs imposed on steel and aluminum since midnight.

Canada will impose tariffs on $29.8 billion worth of U.S. goods as of Thursday, announced Minister Dominic LeBlanc (Finance and Intergovernmental Affairs), Minister Mélanie Joly (Foreign Affairs) and Minister François-Philippe Champagne (Innovation, Science and Industry).

This includes $12.6 billion in steel products and $3 billion in aluminum products, as well as an additional $14.2 billion in U.S. products, said Minister LeBlanc. The list of additional products affected by the counter-tariffs includes tools, computers, sports equipment and cast-iron products.

These new retaliatory measures are in addition to the counter-tariffs announced on March 4 by the Canadian government on $30 billion worth of products imported from the United States, in response to the first wave of 25% tariffs imposed by the Trump administration on Canada.

https://ici.radio-canada.ca/nouvelle/2147338/tarifs-douaniers-canada-etats-unis-acier-aluminium

March 11, 2025 (evening):

Canada avoids 50% tariffs on steel and aluminum. A close adviser to Donald Trump has confirmed that tariffs on Canadian steel and aluminum will not be doubled after all, following Doug Ford’s decision to suspend his electricity surcharge.

March 11, 2025 (PM):

Ontario temporarily suspends its tax: Mr. Ford will travel to Washington to discuss tariffs and the Canada-United States-Mexico Agreement with U.S. Secretary of Commerce Howard Lutnick. “I'm pretty confident he will pull back,” Ford said at a press briefing. (Source: Le Devoir)

March 11, 2025:

Response from Donald Trump: Donald Trump complains about the surcharge on electricity imposed by Ontario: In a post on his social network Truth Social, President Trump wrote that Ontario was “not even allowed to do that”. (Source: Radio-Canada Info)

Tariffs on Steel and Aluminum

U.S. President Donald Trump has announced on his social network Truth Social that he will be doubling tariffs on steel and aluminum. The 25% surcharge will be increased to 50% starting tomorrow morning.

March 10, 2025:

Ontario: Applying a 25 Per Cent Electricity Surcharge on Exports to United States

https://news.ontario.ca/en/backgrounder/1005689/applying-a-25-per-cent-electricity-surcharge-on-exports-to-united-state

Ontario Premier Doug Ford made good on his threat to apply a 25% surcharge on electricity exports to three American states. Ontario exports electricity generated across the province to 1.5 million homes in Minnesota, New York and Michigan. The cost increase resulting from the 25% surcharge is estimated by the Ford government to represent a surcharge of $10 per megawatt-hour. The Premier declared at a news conference that the surcharge will cost the average American household in these states an additional $100 per month on their power bills and will generate revenue of $300,000 to $400,000 per day for the province. (Source: Le Devoir)

March 7, 2025:

$1 billion in new lending to support the Canadian agriculture and food industry: https://www.fcc-fac.ca/en/financing/trade-disruption-customer-support-program#3Y0LzC3=0

• Defer principal payments for up to 12 months on existing loans (current customers)??? 
• Receive access to an additional credit line of up to $500,000, secured by general security agreements or universal movable hypothec (Québec only)? 
• Get additional support with a term loan 

Ottawa introduces temporary flexibilities to the Work-Sharing Program : https://www.canada.ca/en/employment-social-development/programs/ei/work-sharing.html

March 6, 2025: On Thursday afternoon, the U.S. President announced that he will exempt Canadian products covered by the Canada-United States-Mexico Agreement (CUSMA) from tariffs until April 2.

President Trump also signed an executive order to lower the tariff rate on potash to 10% to help U.S. farmers.

In return, Canada will delay its second round of tariffs on $125 billion of U.S. products until April 2.

March 5, 2025: Washington announced on Wednesday that the automotive industry will see a one-month exemption from Donald Trump’s tariffs on imports from Canada and Mexico. The President granted this exemption to ensure that U.S. manufacturers are not at an “economic disadvantage”, explained White House Press Secretary Karoline Leavitt at a press briefing. (source: TVA Nouvelles)

March 4, 2025

Announcement of 25 % customs tariffs on Canadian imports

Donald Trump puts his words into action with the imposition of 25% U.S. customs tariffs on Canadian and Mexican imports, with the exception of Canadian energy which faces a 10% tariff.

Canada announces robust tariff package in response to unjustified U.S. tariffs

Today, the Honourable Dominic LeBlanc, Minister of Finance and Intergovernmental Affairs, and the Honourable Mélanie Joly, Minister of Foreign Affairs, announced that in response to unjustified U.S. tariffs, the Government of Canada is moving forward with 25 per cent tariffs on $155 billion worth of imported goods, beginning immediately with a list of goods worth $30 billion. The scope of the Canadian counter tariffs will be increased to $155 billion if the current U.S. tariffs are maintained. The scope could also be increased if new tariffs are imposed.

Source: https://www.canada.ca/en/department-finance/news/2025/03/canada-announces-robust-tariff-package-in-response-to-unjustified-us-tariffs.html

Quebec announces business support measures

• offering up to $50 million per business, the FRONTIERE program aims to provide quick financial assistance to businesses with cash flow needs;

• announcement of the Chantier productivité, which will be part of the ESSOR program, aimed at boosting the productivity of businesses by offering flexible and advantageous financial assistance to support their investment projects;

• penalties of up to 25%, effective immediately, on bids by U.S. companies who participate in public calls for tenders if those companies are not established in Quebec or among its trading partners.

Source: https://www.newswire.ca/fr/news-releases/tarifs-douaniers-americains-priorite-proteger-notre-economie-864481148.html

February 10: President Trump announces 25% tariffs on all aluminum and steel entering the U.S.

February 4: Canada announces the suspension of the imposition of counter tariffs for the duration of this month.

February 4: Canada secures a similar agreement to Mexico’s: a one-month pause on customs tariffs. In exchange, Canada will appoint a “czar” in charge of dealing with the fentanyl issue.

February 3: Postponement in the application of the 25% customs tariffs on products from Mexico.

February 2: Mélanie Joly announces that Canada will challenge the tariffs before the World Trade Organization (WTO).

February 1: In retaliation, Ottawa announces a first list of U.S. products to be subject to counter tariffs. Effective February 4, 25% tariffs will be imposed on $30 billion in goods imported from the U.S. (poultry, dairy products, sugar, wine and alcoholic beverages, tobacco, cosmetics, baths and shower-baths, plastics and tires).

These tariffs will be expanded to another $125 billion in U.S. imports in three weeks.

www.canada.ca/en/department-finance/news/2025/02/list-of-products-from-the-united-states-subject-to-25-per-cent-tariffs-effective-february-4-2025.html

Several provinces, including Quebec, announce they are pulling all U.S. alcohol from their shelves.