Mark Carney advocates counter-tariffs to protect Canadian businesses

Canada is hitting back. Prime Minister Mark Carney has moved forward with counter-tariffs on US imports, calling the measures essential to protecting Canadian businesses and workers caught in the crossfire of an escalating trade war with the United States. The retaliatory duties, which took effect on September 8, 2026, cover between $20 billion and $28 billion worth of American goods. Rates range from 15% to 50%, targeting products including steel, dairy, and electronics. The move came after US tariffs of up to 50% on roughly $20 billion of Canadian goods went into effect following the collapse of trade negotiations on August 21. What Canada is actually doing “Our tariffs are necessary to protect our workers, protect our companies and our communities,” Carney said. Carney described recent negotiations with the US as derailed by “unfair” and “uneconomic” demands from the Trump administration. The Canadian government has also initiated or expanded relief programs for domestic businesses affected by both sets of tariffs. Economists estimate the short-term GDP impact on Canada could land somewhere between 0.2% and 0.8%. How we got here Carney has been Prime Minister since March 2025, w...