Canada to Remove 25% Tariffs on US Consumer Goods Under USMCA While Keeping Steel, Aluminum and Auto Duties

Canada lifts retaliatory tariffs on a broad set of American consumer goods that meet USMCA rules of origin, according to sources familiar with the matter. The adjustment aligns Ottawa’s tariff schedule more closely with U.S. measures, signaling a measured trade policy recalibration designed to reduce bilateral friction while preserving customs compliance and regulatory parity.

An official announcement is expected Friday after a cabinet meeting, sources said. The government will reportedly remove many items from the prior 25% tariff list but may continue to impose 25% tariffs on U.S. steel and aluminum and maintain duties on certain automobiles, reflecting a targeted rather than blanket rollback (Soochow Securities).