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Canada Rushes To Washington as Trump Announces 50% Tariffs With Aug. 19 Deadline

The tariffs use a near‑century‑old legal authority and threaten broad losses that could prompt Canadian retaliation or major shifts in investment and travel.

Canada-U.S. Trade Minister Dominic LeBlanc, left, listens as Prime Minister Mark Carney meets with Canada's premiers in Charlottetown on Thursday, July 23, 2026. THE CANADIAN PRESS/Darren Calabrese
Vehicles aboard a freight train are exported from Mexico to the U.S. across the border between Ciudad Juarez and El Paso, Texas, on the day U.S. and Mexican trade negotiators meet for a third round of bilateral talks aimed at advancing the review of the North American trade agreement, in Ciudad Juarez, Mexico, July 21, 2026. REUTERS/Jose Luis Gonzalez
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Overview

  • The Trump administration this month invoked Section 338 of the Tariff Act of 1930 to propose 50% duties on a wide list of Canadian goods that are set to take effect on Aug. 19 if no deal is struck.
  • Ottawa has intensified diplomacy, sending Trade Minister Dominic LeBlanc and chief negotiator Janice Charette to Washington this week to try to avert the duties.
  • The measure targets about C$28 billion in exports, including liquor, dairy, cement, honey, hockey sticks and some wood products, while excluding energy, potash, fish and critical minerals.
  • New government data and business surveys show early economic pain: Canadian travel to the U.S. fell roughly 25% in 2025, firms report delayed investments, and provincial economies in Ontario, Quebec and B.C. are most exposed.
  • Public pressure is rising in Canada, with polls showing a majority favoring counter‑tariffs, and Ottawa warning it will consider a full range of responses if duties take effect, including retaliatory measures and litigation.