{"id":838951,"date":"2026-09-07T00:28:11","date_gmt":"2026-09-07T00:28:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/838951\/"},"modified":"2026-09-07T00:28:11","modified_gmt":"2026-09-07T00:28:11","slug":"six-charts-that-explain-canadas-incoming-countertariffs-on-u-s-goods","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/838951\/","title":{"rendered":"Six charts that explain Canada\u2019s incoming countertariffs on U.S. goods"},"content":{"rendered":"<p><a style=\"display:block\" href=\"https:\/\/www.theglobeandmail.com\/resizer\/v2\/NGDC5THM25F5XAT233ZW4Z3OAA.JPG?auth=9274ce5943201e9a8f69f3fe14cba74fd29fb4018adeb368e252a3799b6010d3&amp;width=600&amp;height=400&amp;quality=80&amp;smart=true\" aria-haspopup=\"true\" data-photo-viewer-index=\"0\" rel=\"nofollow noopener\" target=\"_blank\">Open this photo in gallery:<\/a><\/p>\n<p class=\"figcap-text\">Steel coils at a Cleveland-Cliffs facility Middletown, Ohio, last month. Ohio will be particularly affected by Canada&#8217;s countertariffs, which are due to come into effect early on Tuesday.Jon Cherry\/The Associated Press<\/p>\n<p class=\"c-article-body__text text-pr-5\">On Tuesday, Canada is set to <a href=\"https:\/\/www.theglobeandmail.com\/world\/us-politics\/article-canada-us-trade-talks-reach-an-impasse\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.theglobeandmail.com\/world\/us-politics\/article-canada-us-trade-talks-reach-an-impasse\/\">slap countertariffs on roughly $28-billion of U.S. goods<\/a>, ranging from carpets and cutlery to radiators and steel rods, barring a last-minute deal between the two countries.<\/p>\n<p class=\"c-article-body__text text-pr-5\">The duties, which would cover hundreds of items, are scheduled to come into effect at 12:01 a.m. <\/p>\n<p class=\"c-article-body__text text-pr-5\">Ottawa has said it designed the tariffs as a tit-for-tat response to President Donald Trump\u2019s use of Section 338 of the Tariff Act of 1930 on roughly the same dollar figure worth of Canadian shipments to the U.S.<\/p>\n<p class=\"c-article-body__text text-pr-5\">Here are six charts to help you understand the impact of the next step of the unfolding trade war. <\/p>\n<p>The big picture<\/p>\n<p class=\"c-article-body__text text-pr-5\">Canada\u2019s countertariffs are designed to send a message that two can play the trade war game, and the federal government is hoping politicians in a number of states will be its messengers.<\/p>\n<p class=\"c-article-body__text text-pr-5\">The Sept. 8 duties will fall heaviest on swing states such as Ohio, Pennsylvania, Michigan and Wisconsin, while also targeting key industries in other Republican strongholds. <\/p>\n<p class=\"c-article-body__text text-pr-5\">For instance, Harley-Davidson\u2019s plant in Pennsylvania could feel the sting of tariffs on U.S.-made motorcycles. Over the past five years, the company sold an average of 7,400 motorcycles a year in Canada, according to its financial records, and generated average annual revenue of US$215-million for bikes, parts and services. <\/p>\n<p class=\"c-article-body__text text-pr-5\">Ohio would be hardest hit in dollar terms, since it shipped $3.3-billion worth of tariff-covered goods to Canada in 2025, with steel items high on the list. The state is home to Cleveland-Cliffs Inc. <a href=\"https:\/\/www.theglobeandmail.com\/investing\/markets\/stocks\/CLF-N\/\" target=\"_self\" rel=\"nofollow noopener\" title=\"https:\/\/www.theglobeandmail.com\/investing\/markets\/stocks\/CLF-N\/\">CLF-N<\/a>, a steelmaker that has lobbied heavily for Mr. Trump\u2019s steel tariffs \u2013 and which also happens to own Canadian steelmaker Stelco.<\/p>\n<p class=\"c-article-body__text mv-16 l-inset text-pb-8\" data-sophi-feature=\"interstitial\"><a href=\"https:\/\/www.theglobeandmail.com\/world\/article-united-states-countertariffs-reaction-carney-trump\/\" rel=\"nofollow noopener\" target=\"_blank\">U.S. businesses think looming countertariffs will inflict pain, but not misery<\/a><\/p>\n<p>Biggest tariff rate surge in decades<\/p>\n<p class=\"c-article-body__text text-pr-5\">Canada and the United States have enjoyed decades of free trade since 1989, with the signing of the initial Canada-United States free trade agreement \u2013 later expanded to become the North American free trade agreement, with Mexico, and then tweaked to become the United States-Mexico-Canada Agreement during Mr. Trump\u2019s first term.<\/p>\n<p class=\"c-article-body__text text-pr-5\">The deals brought about extremely low effective tariff rates on U.S. goods coming into Canada, of around 0.2 per cent.<\/p>\n<p class=\"c-article-body__text text-pr-5\">Last year\u2019s countertariffs, which Ottawa put in place in March, 2025, and largely reversed in September, 2025, pushed the rate to an estimated 1.2 per cent, according to an analysis by Trevor Tombe, a professor of economics at the University of Calgary. <\/p>\n<p class=\"c-article-body__text mv-16 l-inset text-pb-8\" data-sophi-feature=\"interstitial\"><a href=\"https:\/\/www.theglobeandmail.com\/investing\/personal-finance\/article-heres-how-canadas-countertariffs-could-hit-your-wallet\/\" rel=\"nofollow noopener\" target=\"_blank\">Here\u2019s how Canada\u2019s countertariffs could hit your wallet<\/a><\/p>\n<p class=\"c-article-body__text text-pr-5\">The incoming Sept. 8 duties could push Canada\u2019s effective tariff rate on U.S. imports to 3.8 per cent, he estimated, the highest level since the 1980s. <\/p>\n<p class=\"c-article-body__text text-pr-5\">That\u2019s a significant departure from decades of free trade. <\/p>\n<p>Finding substitutes<\/p>\n<p class=\"c-article-body__text text-pr-5\">In choosing which U.S. goods to target with tariffs, the federal government opted for products it said are easier for consumers and businesses to find elsewhere, whether that\u2019s sourcing goods from domestic producers or through imports from other countries. <\/p>\n<p class=\"c-article-body__text text-pr-5\">Doing so, it argued, would help mitigate price increases and supply-chain disruptions in the Canadian economy. <\/p>\n<p class=\"c-article-body__text text-pr-5\">For roughly one-eighth of the goods about to be tariffed, the U.S. accounts for the vast majority \u2013 more than 80 per cent \u2013 of Canada\u2019s total imports of those products, according to a Globe and Mail analysis of trade data. <\/p>\n<p class=\"c-article-body__text text-pr-5\">Domestic producers may be able to fill the gap, but supply chains can\u2019t be adjusted overnight. And where there are no domestic suppliers of specific products, the federal government has said it will keep its remissions framework in place, which allows companies to avoid tariffs on hard-to-substitute goods.<\/p>\n<p class=\"c-article-body__text text-pr-5\">But this chart also shows that the number of high-value goods for which the U.S. is the dominant source is relatively small, meaning there are indeed international alternatives businesses can turn to for most items.<\/p>\n<p>An eye for an eye<\/p>\n<p class=\"c-article-body__text text-pr-5\">Canada\u2019s tit-for-tat approach to the Sept. 8 countertariffs means many of the items on Canada\u2019s list of $27.6-billion worth of imports from the U.S. were on Mr. Trump\u2019s $27.6-billion worth of Section 338 tariffs. <\/p>\n<p class=\"c-article-body__text text-pr-5\">Those include products like honey, hair care products, metal furniture and cardboard boxes. <\/p>\n<p class=\"c-article-body__text mv-16 l-inset text-pb-8\" data-sophi-feature=\"interstitial\"><a href=\"https:\/\/www.theglobeandmail.com\/investing\/personal-finance\/article-what-the-trade-war-and-us-policy-mean-for-canadian-mortgage-rates\/\" rel=\"nofollow noopener\" target=\"_blank\">What the trade war and U.S. policy mean for Canadian mortgage rates<\/a><\/p>\n<p class=\"c-article-body__text text-pr-5\">That doesn\u2019t mean Canada and the U.S. ship equal values of each good to each other. While Canada shipped double the amount of wire and cable to the U.S. than it received, and much more corrugated cardboard box products, the U.S. shipped vastly more plastic bag products and bakery mixes here. <\/p>\n<p>From zero to 50<\/p>\n<p class=\"c-article-body__text text-pr-5\">When Canada released its retaliation list, the targets included U.S. goods already facing tariffs \u2013 only now at higher levels \u2013 as well as a large number of new items. <\/p>\n<p class=\"c-article-body__text text-pr-5\">The first category includes a swath of products dear to Mr. Trump\u2019s protectionist heart: steel and aluminum goods and derivative products. They account for the largest dollar value on the list, and as of Sept. 8, most will incur duties of 50 per cent, double the current rate.<\/p>\n<p class=\"c-article-body__text text-pr-5\">Of the new products that could soon be tariffed, several would see large increases in charges, such as routers and network switching equipment for transmitting voice, images and data, which would incur $460-million of tariff costs, based on 2025 trade data, and corrugated cardboard boxes, which would face tariff costs of $327-million.<\/p>\n<p><\/p>\n<p>Seafood switcheroo<\/p>\n<p class=\"c-article-body__text text-pr-5\">Late in the evening on Aug. 26, Ottawa dropped more than 200 seafood-related customs codes from its initial countertariff list released just the day before.<\/p>\n<p class=\"c-article-body__text text-pr-5\">This switch eased the tariff pressure on Maine and Alaska and the government said it was done based on feedback from Canada\u2019s fisheries sector in Atlantic Canada, which warned the duties could devastate the industry. <\/p>\n<p class=\"c-article-body__text text-pr-5\">In order to approximately maintain the dollar-for-dollar counterblow, six new items were added to the list of countertariffs, including glass bottles, printed pictures and cards, plasterboard and copper wire.<\/p>\n","protected":false},"excerpt":{"rendered":"Open this photo in gallery: Steel coils at a Cleveland-Cliffs facility Middletown, Ohio, last month. Ohio will be&hellip;\n","protected":false},"author":2,"featured_media":838952,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36],"tags":[28,101,113163],"class_list":["post-838951","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-streetwise"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/838951","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=838951"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/838951\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/838952"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=838951"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=838951"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=838951"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}