The federal government is using the strength of Canadian labour to fight back in the current trade dispute with the American administration.
Various members of Cabinet gathered at an Ottawa manufacturer on Tuesday to announce retaliatory measures against tariffs imposed by the U.S. government after trade talks failed last week.
Finance Minister François-Philippe Champagne said that effective Tuesday, September 8, Canada will match tariffs on over 700 American-made products, amounting to about $27.6-billion.
He called it a dollar-for-dollar response to the latest round of U.S. levies.
"Those tariffs will have real consequences for Canadian workers, businesses, and communities across our nation," said Champagne. "Canada must respond, and today we are, in a proportionate, targeted, and strategic way."
Champagne said that the measures were necessary to protect and strengthen Canadian industry, and a united front was needed.
"Canada will meet the moment," said Champagne. "Canadians will meet the moment. We will meet the moment together. As the prime minister has said, we will support our workers, our businesses, and our industry, with whatever it takes, for as long it takes."
Depending on the product, counter-tariffs will come to 15, 25, or 50 per cent. Champagne also said that existing countermeasures on automobiles will continue, and that Canada will double current tariffs on American steel and aluminium.
The countermeasures were created after U.S. President Donald Trump announced on Monday that 50 per cent tariffs would be imposed on the Canadian auto industry, effective January 1, 2027.
Tariffs on some $28-billion in Canadian goods took effect after Canadian trade representatives broke off talks with their American counterparts late Friday night.
Champagne said that Canada had no other choice but to walk away.
"Ultimately, the terms proposed by the U.S. administration were uneconomic, unfair, and ultimately, unacceptable," said Champagne. "They asked too much of Canada, and offered too little in return."
The federal government has also announced a $7.5-billion relief package for businesses in the line of fire from U.S. tariffs, particularly for small businesses and medium-sized enterprises. The package will also include an additional $1.5-billion for the Regional Tariff Response Initiative.
