On August 19, 2026, the US Government will impose 50% tariffs on a new list of Canadian goods that include a broad range of products. These tariffs are purported to be in response to previous trade actions taken by Canada in the previous year.
The products included in these new tariffs feature a broad range of goods, including plants, jewelry, sporting goods, cement, meat, and dairy, but exclude those that are already subject to Section 232 tariffs, which notably contain vehicles, buses, trucks, lumber, steel, aluminum, copper, and derivatives. They also will not affect aerospace trade, energy trade, critical minerals, or potash.
Importantly, there is no exemption or relief opportunities under the US-Mexico-Canada Agreement (CUSMA/USMCA). Goods that could get credit for meeting the trade pact’s rule of origin will not under the new tariffs.
It should be noted that there is some time for negotiation before these tariffs enter into effect; however, between now and the implementation date, importers are encouraged to prepare.
—
Recommended Action
Importers are encouraged to work closely with your broker to do the following:
PCB’s Trade Advisory Team can help ensure that you are taking the appropriate steps and are covered in all possible ways when these new tariffs enter into force.
—
These tariffs have been implemented under Section 338, which comes from the US Trade Act of 1930. There have never been tariffs implemented under this act in the past, and as such, there is no established time limit in place, and no language in the law about how or when they are removed.
The list of affected goods can be found here, here, and here.
The proclamation itself can be found here, and the relevant fact sheet can be found here.
This story is still developing. To be kept abreast of the latest as it happens, you are encouraged to:
%20Logo%20Vector-DBG.svg)
