On February 1, 2025, Canada announced retaliatory tariffs in response to the United States imposing significant tariffs on Canadian imports. These Canadian tariffs will target approximately $30 billion worth of U.S. goods, with an effective date of February 4, 2025. A second tranche covering an additional $125 billion will follow after a 21-day consultation period.

First Tranche of Tariffs

Starting February 4, the following categories of U.S. products will incur a 25% tariff:

Food and Beverages: This includes items like orange juice, peanut butter, wine, spirits, beer, coffee, and various meats and dairy products.

Household Goods: Tariffs will apply to appliances, furniture, and household items such as bathtubs and sinks.

Clothing and Footwear: A wide range of apparel including coats, shirts, pants, and footwear.

Cosmetics and Personal Care Products: Items such as perfumes, makeup, and hygiene products.

Automotive and Machinery: Including motorcycles and various tools.

Miscellaneous: Firearms, jewellery, light fixtures, and even certain types of artwork.

Second Tranche of Tariffs

The second set of tariffs is expected to be broader and may include:

Vehicles: Passenger cars and trucks (including electric vehicles).

Steel and Aluminum Products: Key materials for manufacturing.

Agricultural Products: Various fruits, vegetables, beef, pork, and dairy.

Recreational Vehicles: Boats and other leisure items.

In total, these tariffs are aimed at approximately C$155 billion worth of U.S. exports to Canada, which constitutes about one-third of annual U.S. exports to Canada. The Canadian government has indicated that these measures are necessary to protect its economy against what it considers unjustified U.S. tariffs.

ANI