OTTAWA — Canada will impose tariffs of up to 50% on $27.6 billion worth of American goods beginning September 8, matching the latest U.S. trade measures dollar for dollar and rate for rate.And Finance Minister François-Philippe Champagne also announced a $7.5-billion package Tuesday to assist Canadian workers and businesses affected by the escalating trade war.The counter-tariffs will apply at rates of 15%, 25% or 50%, depending on the tariff imposed by Washington on the corresponding Canadian product.Ottawa said the measures will target American steel, dairy products, appliances, agricultural equipment, pulp and paper and electronics.The government did not immediately publish a complete product-by-product list with Tuesday’s announcement.“When the United States asked too much and offered too little, we chose to stand up for Canadians,” Champagne said.“Our dollar-for-dollar, rate-for-rate counter-tariffs, as well as a multi-billion-dollar support package, will protect workers, farmers, families and businesses.”.The United States imposed 50% tariffs Saturday on $27.6 billion worth of Canadian products under sections 338 and 232 of American trade law.Prime Minister Mark Carney suspended negotiations late Friday, saying Washington introduced last-minute terms that were “unfair, uneconomic” and called the reliability of any agreement into question.Carney said the proposal offered insufficient relief for Canadian industries while making unacceptable demands involving Canada’s sovereignty, future trade agreements and protections for French language and culture.Ottawa’s support package includes another $1.5 billion for the Regional Tariff Response Initiative, delivered through regional development agencies.That funding will provide assistance to small and medium-sized businesses, including liquidity support for companies facing tariff-related financial pressure.The Business Development Bank of Canada will receive a new $500-million liquidity stream through its Pivot to Grow program to help companies manage immediate cash-flow problems.The minimum annual revenue required to access BDC tariff programs will be lowered to $1 million, making smaller companies eligible.Another $2 billion will go to the Canada Strong Diversification Fund for tariff-affected businesses with shovel-ready capital projects.Ottawa is also allocating $3.5 billion for what it calls Rapid Response Supports for Workers and Employers.Those measures include temporary Employment Insurance changes, workplace training, upgrades to the federal Job Bank and a new Worker Retention and Retraining Program intended to help employers retain staff.The government also promised greater flexibility under the Large Enterprise Tariff Loan facility but did not provide details about the changes.The $7.5-billion package comes on top of nearly $25 billion in tariff assistance Ottawa says it has provided during the past 18 months.Canadian tariffs are charged to businesses importing American goods, which may absorb the expense, change suppliers or pass some of the additional cost to consumers.The government said the countermeasures are intended to provide Canadian producers with a more level playing field against competing American products.Trump has threatened to escalate the dispute further by raising tariffs on Canadian cars, trucks, automotive parts and steel to 50% on January 1, 2027.
