Tariff Resources

Current Overview

U.S Tariffs on Canadian Goods

Current tariffs affecting Canadian exports into the U.S.

  • Effective August 19, 2026, the U.S is adding a 50% tariff across three separate lists of Canadian imports:
    • Dairy and Alcohol: Milk, cream, whey, beer, wine, and spirits.
    • "Motor Vehicles" Category (Non-Automotive): Broadly impacts electronics, building materials (lumber, cement), furniture, clothing, cosmetics, tools, packaging, and agricultural seeds.
    • These tariffs apply to all covered goods regardless of whether a good originates under CUSMA.
  • Effective July 24, 2026 - Global Tariffs:
    • 10% tariff that applies to all non-CUSMA compliant goods
  • Effective June 8, 2026 - Section 232 Metal/Equipment Tariffs:
    • 15% Tariff: Reduced rate on certain steel and aluminum derivative products, including certain agricultural/HVAC equipment; expanded to include heavy machinery (bulldozers, forklifts).
    • 10% Discount Rate: Applies if at least 85% of steel/aluminum content is U.S.-sourced and meets processing requirements. 

Ongoing Tariffs:

  • 35% tariff: 
    • Softwood lumber (effective October 14, 2025)
  • 25% tariff: 
    • Non-U.S. built vehicles (effective April 2, 2025)
    • Upholstered wooden products, and cabinets (effective October 14, 2025)
  • 10% tariff: 
    • Non-CUSMA potash and energy products (effective April 2, 2025)

De Minimis Exception Eliminated:

  • What it was: A U.S. customs rule allowing shipments valued at $800 USD or less to enter duty-free with minimal paperwork.
  • What changed (since August 2025): The exception is completely removed. All low-value goods are now subject to standard U.S. duties, taxes, and formal border clearance.

Canadian Tariffs

Current tariffs on imported goods

Removed Tariffs:

  • Effective September 1, 2025, Canada removed 25% counter-tariffs on certain goods imported into Canada from the U.S.:
    • $30 billion in goods targeted since March 4, 2025.
    • $14.2 billion in goods targeted since March 13, 2025.

Remaining Tariffs:

  • Automobiles (25%): 
    • Applies to non-CUSMA U.S. vehicles (effective April 9, 2025).
    • Exemptions: Auto parts and Mexican-assembled vehicles are excluded to protect integrated supply chains.
  • Steel and Aluminum (25%): 
    • Applies to selected U.S. imports, covering $12.6 billion in steel and $3 billion in aluminum (effective March 13, 2025).

New Steel Industry Measures (Effective Dec 26, 2025):

  • 25% Global Tariff on Steel Derivatives: Implemented on select global imports.
  • Reduced Tariff-Rate Quotas (TRQs) on steel:
    • Non-FTA Countries: Duty-free import quota cut from 50% down to 20% of 2024 levels.
    • Non-CUSMA FTA Partners: Quota reduced from 100% down to 75% of 2024 levels.
    • CUSMA Partners: Existing exemptions remain fully unchanged.

CUSMA remains in effect until 2036 after the U.S. declined to extend the agreement, triggering annual reviews and continued negotiations among Canada, the U.S., and Mexico.

Current state of Canada-U.S. tariffs
Navigating Canada-U.S. tariff timeline
Complete list of U.S. products subject to counter tariffs

The Canadian and U.S. economies are intricately linked through trade. Our countries traded an average of $2.5 million in bilateral goods and services every minute of every day in 2023. The U.S. is Canada’s largest trading partner, where approximately 75% of Canadian exports go.

We understand that the ongoing developments surrounding U.S. tariffs may bring uncertainty and concern for local businesses. The County of Wellington is committed to helping our business community navigate these potential economic challenges

If you require any assistance, our Economic Development team is ready to help you navigate resources and available support. Contact our team via email or call us at 519.837.2600 x 2614.

What are tariffs and how could they affect me?

Tariff and Trade Resources

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Visit our Business Resources page to find more funding opportunities, business events and workshops, and local business programmes.

Shop Local, Buy Wellington County

Supporting local businesses strengthens our community and helps Canadian businesses thrive. While looking for ‘Product of Canada’ and ‘Made in Canada’ labels, don’t forget the incredible products grown and made right here in Wellington County. 

Here are a few simple ways to discover and support local products: