Canada retaliates with tariffs on U.S. goods after trade dispute

Canada hit back at the United States with new tariffs on American goods starting in March 2025. The first round put a 25 percent tax on around CA$30 billion of U.S. products. A second, larger round followed later that month, covering CA$125 billion more. Then in September, Canada added duties of 15, 25, and 50 percent on about 700 American products. The targeted goods included clothing, cheese, dairy, wood, and metal parts. Canadian officials said they designed the tariffs to match U.S. duties dollar-for-dollar. They also rejected the U.S. claim that Canada was responsible for fentanyl entering the country. The dispute has hurt sectors like agriculture and wood products on both sides of the border.