Trump's Tariffs Leave Canadians Confused

The trade war between Canada and the US has become increasingly complex, with President Trump's latest tariffs affecting over 700 Canadian products.

Last month, the White House announced new 50% tariffs on these goods, part of a series of announcements that has made it hard to keep track of.

The Bank of Canada estimates that 95% of Canadian exports to the US are compliant with CUSMA, which should exempt them from tariffs. However, the US is able to tax 20% of our exports through Section 232 tariffs targeting steel, aluminum, and their derivatives, citing national security concerns.

Trevor Tombe, Professor of Economics at the University of Calgary, notes that this claim can be seen as 'convinced or not' a separate conversation. The newest Section 338 tariffs only affect around 5% of total Canadian exports, targeting products that should be protected under CUSMA, with the US citing alleged discriminatory trade practices.