Canada’s finance minister said the government will keep 25% retaliatory tariffs on US goods worth tens of billions of dollars, countering previous reports that Ottawa had quietly paused levies on US goods. In a social-media post on Saturday, François-Philippe Champagne stated that about 70 percent of the counter-tariffs imposed in March remain active. That share covers roughly C$42 billion (US$30.1 billion) in goods from the United States, not including automobiles. On all these goods, a 25% retaliatory tariff rate will still apply. Champagne added that only some items for “health and public safety reasons” have been temporarily spared. More of the same falsehoods. To retaliate against U.S. tariffs, Canada launched largest-ever response — including $60B of tariffs on end-use goods. 70% of those tariffs are still in place. We temporarily and publicly paused tariffs on goods for health & public safety reasons. pic.twitter.com/qsLlxnzYlr — François-Philippe Champagne (FPC) 🇨🇦 (@FP_Champagne) May 18, 2025 Champagne’s statement challenges an earlier research report His statement challenges a 13 May report by Oxford Economics analysts Tony Stillo and Michael Davenport. The research firm noted that the recent exemptions were so broad they left Canada with “nearly zero” extra duty on U.S. products. The earlier report gave fresh new reasons to opposition lawmakers, who accused Prime Minister Mark Carney of not being transparent about the true scale of his tariff strategy. During the recent election campaign, Carney cast himself as the candidate best able to manage the trade dispute and promised counter-measures that would “cause maximum pain” south of the border. His Liberal Party secured victory in the 28 April vote. Tensions have been high since U.S. President Donald Trump imposed duties on a range of Canadian and Mexican products, including cars and trucks, despite an existing North American trade deal. Canada hit back first with a 25 percent tariff on selected American consumer goods, steel, and aluminum, and later extended the charge to vehicles built in the United States. These tariffs were first unveiled in March after Washington escalated the tariff dispute. Ottawa published a list covering consumer staples, metals, and machinery despite protests from several small firms. On 15 April, however, Champagne rolled out a series of six-month exemptions. Canadian firms may import items for manufacturing, processing, and food-and-beverage packaging without paying the tariff for the short term. Goods required for public health, health care, public safety, and national security are also exempt during this brief window. Automakers with plants in Canada, such as General Motors and Honda, can import certain vehicles duty-free under a “performance-based remission” scheme. Ottawa hopes the incentive will keep assembly lines in the country even as U.S. tariffs linger. Cryptopolitan Academy: Want to grow your money in 2025? Learn how to do it with DeFi in our upcoming webclass. Save Your Spot
