{"id":8230,"date":"2026-09-11T11:55:55","date_gmt":"2026-09-11T09:55:55","guid":{"rendered":"https:\/\/leyton.com\/ca\/?post_type=article&p=8230"},"modified":"2026-09-11T11:55:57","modified_gmt":"2026-09-11T09:55:57","slug":"the-tariff-dispute-escalated-again-what-could-your-business-response-be-worth","status":"publish","type":"article","link":"https:\/\/leyton.com\/ca\/en\/insights\/articles\/the-tariff-dispute-escalated-again-what-could-your-business-response-be-worth\/","title":{"rendered":"The Tariff Dispute Escalated Again. What Could Your Business Response Be Worth?\u00a0"},"content":{"rendered":"\n

Canada\u2019s new counter-tariffs took effect September 8, imposing duties of 15%, 25% or 50% on $27.6 billion of U.S. goods. Within hours, the United States announced further measures affecting certain Canadian dairy products, alcoholic beverages and motor vehicles. <\/p>\n\n\n\n

The import restrictions take effect September 29, while other product-list changes begin September 15. U.S. agencies were also directed to remove Canadian-origin goods from federal procurement schedules.\u00a0<\/p>\n\n\n\n

For Canadian companies, waiting for trade policy to stabilize is no longer a business strategy.\u00a0<\/p>\n\n\n\n

Tariffs affect far more than the duty on an invoice. They influence margins, pricing, suppliers, export markets, production planning and investment decisions. <\/p>\n\n\n\n

This is an important moment for Canadian business. Decisions being made now about suppliers, equipment, automation, product design and plant location will shape where Canadian productive capacity resides for years. <\/p>\n\n\n\n

Before absorbing the cost, redesigning a product or moving production, businesses should determine whether public funding can change the calculation. <\/p>\n\n\n\n

Which products are affected?<\/strong> <\/h2>\n\n\n\n

Canada\u2019s counter-tariffs apply only to qualifying U.S.-origin goods. The following are selected examples from the Government of Canada\u2019s tariff schedule<\/strong><\/a>:<\/p>\n\n\n\n

<\/div>\n\n\n\n
Category<\/strong> <\/td>Examples<\/strong> <\/td>Tariff<\/strong> <\/td><\/tr>
Dairy ingredients <\/td>Milk and cream powders, whey, casein and milk proteins <\/td>50% <\/td><\/tr>
Cheese <\/td>Cheddar, mozzarella, parmesan, brie and other cheeses <\/td>25% <\/td><\/tr>
Honey <\/td>Natural honey <\/td>50% <\/td><\/tr>
Steel and aluminum <\/td>Ingots, flat-rolled products, bars, rods and selected derivatives <\/td>25\u201350%; many products increased to 50% <\/td><\/tr>
Softwood lumber <\/td>Sawn pine, spruce, fir, S-P-F and hemlock <\/td>25% <\/td><\/tr>
Plywood and engineered wood <\/td>Plywood, laminated veneer lumber and blockboard <\/td>50% <\/td><\/tr>
Pulp and paper <\/td>Selected pulp, kraft paper, tissue, envelopes and paper products <\/td>25\u201350% <\/td><\/tr>
Plastics <\/td>Selected coverings, tableware and packaging products <\/td>50% <\/td><\/tr>
Carpets <\/td>Selected woven, tufted and synthetic floor coverings <\/td>25\u201350% <\/td><\/tr>
Apparel <\/td>Selected shirts, sweaters, dresses, suits, coats and gloves <\/td>50% <\/td><\/tr>
Beauty and personal care <\/td>Perfumes, makeup and selected hair products <\/td>50% <\/td><\/tr>
Glass containers <\/td>Selected bottles, jars and packaging glass <\/td>50% <\/td><\/tr>
Equipment, appliances and electronics <\/td>Selected agricultural equipment, appliances and electronic products <\/td>Varies by tariff item <\/td><\/tr>
Automobiles <\/td>Existing Canadian counter-tariffs continue under a separate measure <\/td>Product-specific <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
<\/div>\n\n\n\n

This table is indicative, not a customs-classification opinion. The applicable rate depends on the precise tariff item, product description and country-of-origin rules. Businesses should review the government\u2019s complete consolidated list<\/strong><\/a> before making import decisions. <\/p>\n\n\n\n

A significantly larger federal response<\/strong> <\/h2>\n\n\n\n

The federal government\u2019s latest $7.5 billion package adds $1.5 billion to the Regional Tariff Response Initiative (RTRI)<\/strong><\/a>, bringing total RTRI funding to $3.45 billion nationally. <\/p>\n\n\n\n

RTRI now provides two principal funding streams: <\/p>\n\n\n\n