Canada to Remove All Tariffs on USMCA-Compliant US Goods

Starting Sept. 1 Canada will remove all tariffs on US products that comply with USMCA, Prime Minister Mark Carney announced. The move follows exemptions granted earlier this month by Washington to Canadian products. However, Canadian tariffs on US automobiles, steel, and aluminum will remain in place for now.

“In line with Canada’s commitment to USMCA, I am announcing that the Canadian government will now match the United States by removing all Canadian tariffs on US goods specifically covered by the agreement,” Carney said.

He emphasized that, with this decision, Canada and the United States have restored free trade for most goods, noting that Canadian exports generally face low tariffs compared with other trade partners.

Canada has not succeeded in reducing the 35% US tariff on imports that do not meet USMCA rules of origin. Negotiations between the two countries continue as they aim to reach a broader trade agreement. Carney’s announcement came a day after a call with US President Donald Trump, amid intensified discussions on trade.