Tracking tariff developments and resources for BC local government finance professionals. Last updated September 1, 2026.
Three U.S. tariff measures currently apply to Canadian goods. Canada's counter-tariffs take effect September 8, 2026. This page tracks key developments and provides resources for local government finance professionals.
Current measures as of September 1, 2026
Section 232: 50% U.S. tariff on steel, aluminum, and copper articles and 25% on listed derivatives, applied to full import value. In effect since April 6, 2026.
Section 301: 10% U.S. tariff on Canadian goods. CUSMA-compliant goods are exempt. In effect since July 24, 2026.
Section 338: Additional 50% U.S. tariff on listed Canadian goods. CUSMA status does not exempt covered goods. In effect since August 22, 2026.
Canada's counter-tariffs: 15, 25, and 50% on about 700 U.S. products, effective September 8, 2026.
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Key Developments
August 25, 2026: Canada announced counter-tariffs of 15, 25, and 50% on about 700 U.S. products covering $27.6 billion in imports, effective September 8, 2026. Rates match the corresponding U.S. rate for the same goods. Sectors include steel and aluminum, dairy, appliances, agricultural equipment, pulp and paper, plastics, and electronics. Existing counter-tariffs on steel and aluminum increase from 25% to 50%. No energy countermeasures were included. Canada's tariff remission framework remains available. A $7.5 billion support package for workers and businesses was announced at the same time. (Department of Finance Canada)
August 22, 2026: The Section 338 tariffs took effect at 12:01 a.m. Eastern after negotiations ended without an agreement. The additional 50% duty applies to Canadian goods listed by eight-digit tariff classification, is charged on top of existing duties, and is not waived by CUSMA origin. Goods already subject to Section 232 duties are excluded. (Department of Finance Canada, Blakes)
August 18, 2026: A proclamation suspended the Section 338 duties for three days, moving the effective date from August 19 to August 22, 2026. (Troutman Pepper Locke)
August 6, 2026: The U.S. Bureau of Industry and Security requested public comment on adding 14 product categories to the Section 232 tariffs, including certain cranes and lifting equipment, trailers and semi-trailers, electric conductor cables, fire extinguishers, heat exchanger parts, and filled steel containers. Most would be set at 25%. Comments closed August 27, 2026. (Federal Register)
July 24, 2026: The 10% Section 122 global tariff expired at the end of its statutory term. The Section 301 forced labour tariff took effect the same day, at 10% for Canada, with exemptions for goods entered duty-free under CUSMA and for goods covered by Section 232, civil aircraft, pharmaceuticals, and other listed categories. (PwC Canada)
July 20, 2026: President Trump signed three proclamations imposing an additional 50% tariff on certain Canadian goods under Section 338 of the Tariff Act of 1930, the first use of that provision to impose tariffs. The proclamations address Canadian measures on motor vehicles, alcoholic beverages, and dairy. The motor vehicle proclamation does not cover passenger vehicles or parts, which fall under Section 232; it covers goods including cement, plywood, furniture, cosmetics, textiles, apparel, jewellery, toys, and sporting goods. Energy, potash, fish, critical minerals, and goods subject to Section 232 duties are excluded. (White & Case, Holland & Knight)
July 1, 2026: The mandatory CUSMA Joint Review began with a trilateral meeting of Canadian, American, and Mexican officials. The U.S. declined to agree to a 16-year extension, triggering an annual review process. The agreement remains in force until 2036. (Global Affairs Canada)
June 3, 2026: Canada extended its steel and aluminum tariff remission measures by one year, to June 30, 2027. Eligible goods include those used in auto and aerospace manufacturing and for public health, public safety, and national security purposes. (Department of Finance Canada)
May 7, 2026: The U.S. Court of International Trade ruled the 10% Section 122 tariff unlawful in Oregon v. Trump and Burlap & Barrel, Inc. v. Trump, limiting relief to the plaintiffs. The government appealed and obtained a temporary stay, and the tariff continued to be collected until it expired on July 24, 2026. (Davis Wright Tremaine)
April 20, 2026: U.S. Customs and Border Protection launched the CAPE refund processing system. Importers of record who paid IEEPA tariffs on non-CUSMA goods between February 4, 2025, and February 24, 2026, may be eligible to file refund claims. (CFIB)
April 6, 2026: A revised Section 232 proclamation took effect, setting tariffs on steel, aluminum, and copper articles at 50% and certain derivative goods at 25%. Tariffs apply to the full value of imported goods rather than only the metal content, with a 15% de minimis exemption. (PwC Canada)
March 5, 2026: The governments of Canada and British Columbia announced a $70.4 million partnership to support tariff-impacted workers through WorkBC, including retraining, upskilling, and employment assistance. (Canada.ca)
February 24, 2026: Following the Supreme Court ruling, a new executive order imposed a 10% tariff on goods from all countries under Section 122 of the Trade Act of 1974, with exemptions for certain products. (Tax Foundation)
February 20, 2026: The U.S. Supreme Court ruled 6-3 that the International Emergency Economic Powers Act does not authorize the President to impose tariffs, striking down the IEEPA tariffs on Canada, Mexico, and China and the reciprocal tariffs on other countries. (Holland & Knight)
February 17, 2026: B.C. Budget 2026 was tabled, including $50 million for forestry to navigate tariff challenges and a new $400 million Strategic Investments Special Account. (B.C. Budget 2026)
2025 background: The trade war began in early 2025 with tariffs imposed under IEEPA authority, escalating to a 35% tariff on Canadian goods in August 2025 (Tax Foundation). B.C. launched its tariff response hub in March 2025, UBCM's Executive responded in April 2025, and GFOABC hosted a KPMG webinar on tariff implications for BC. The IEEPA tariffs were struck down in February 2026 and briefly replaced under Section 122.
Resources
Complete List of U.S. Products Subject to Counter-Tariffs (Department of Finance Canada), effective September 8, 2026
Support for Canadian Workers and Businesses Affected by U.S. Tariffs (Department of Finance Canada)
Local Government Response to U.S. Tariffs (UBCM, April 2025), guidance on amending procurement policies
The Impacts of the US-Canada Trade War (Oxford Economics for UBCM, April 2025)
U.S. Tariff Overview: Questions, Findings and Considerations (GFOABC)
Canada's Response to U.S. Tariffs (Government of Canada)
B.C.'s Response to Unjustified U.S. Tariffs (Province of B.C.)
U.S.-Canada Tariffs: Timeline of Key Dates and Documents (Blakes)
Canada-U.S. Trade Hub (CFIB)
Canada Tariff Finder: find applicable tariffs on products
Tariff Tracker: 2026 Trump Tariffs & Trade War by the Numbers (Tax Foundation)
Pending
Canada's counter-tariffs: Take effect September 8, 2026. The full product list is linked above.
Section 232 derivative expansion: Comments on the 14 proposed product categories closed August 27, 2026. No decision has been announced.
CUSMA: Annual reviews continue until an extension is agreed or the agreement expires in 2036.