Canada’s new countermeasures will enter into force
April 09, 2025
Global Korean Post
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On March 4, 2025, U.S. tariffs of 25 per cent on Canadian goods and 10 per cent on energy and potash exports from Canada to the U.S. came into effect. The U.S. subsequently limited these tariffs to non-CUSMA compliant goods.
On March 12, 2025, the U.S. imposed tariffs of 25 per cent on Canadian steel and aluminum products.
On April 3, U.S. tariffs of 25 per cent on Canadian automobiles came into effect, targeting the auto industry and the more than 500,000 Canadians this industry supports across the country.
The Minister of Finance, François-Philippe Champagne, yesterday confirmed that announced last week in response to the unjustified tariffs imposed by the United States on the Canadian auto industry will come into force at 12:01 a.m. EDT on April 9.
As the Prime Minister indicated on April 3, this includes:
- Twenty-five per cent tariffs on non- Canada-U.S.-Mexico Agreement (CUSMA) compliant fully assembled vehicles imported into Canada from the United States.
- Twenty-five per cent tariffs on non-Canadian and non-Mexican content of CUSMA compliant fully assembled vehicles imported into Canada from the United States.
A remission framework for auto producers that incentivizes production and investment in Canada, and helps maintain Canadian jobs, will also be implemented. Further details of this framework will be announced shortly.
Minister Champagne also announced that the government has granted a special exemption from previous tariff countermeasures on U.S. consumer and household products to the residents of Campobello Island, New Brunswick. This special exemption is in recognition of the island’s unique situation, which is only accessible by road via the United States year-round.
