Canada to announce retaliatory tariffs on U.S. Tuesday

Prime Minister Mark Carney has vowed the government would impose dollar-for-dollar tariffs on American goods.

Published Aug 24, 2026  •  Last updated 17 minutes ago  •  2 minute read

Prime Minister Mark Carney speaks to journalists about U.S. President Donald Trump's new 50% tariff threat in the Parliamentary Precinct in Ottawa July 21, 2026. Photo by Blair Gable /Photo by Blair Gable / Postmedia

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Canada will announce retaliatory tariffs against the United States on Tuesday, sources told CTV.

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In response to punishing new U.S. tariffs against Canada in the wake of failed talks on a trade deal, Prime Minister Mark Carney vowed the government would impose dollar-for-dollar tariffs on American goods.

The Department of Finance said that four ministers, including Finance Minister Francois-Philippe Champagne and Jobs Minister Patty Hajdu, will be present to announce the measures Tuesday night.

Expanding EI

Along with the retaliatory tariffs announcement, Ottawa told CTV it will expand Employment Insurance to help domestic workers affected by American tariffs. Provincial premiers will reportedly be briefed on those measures as well.

A media advisory issued by the feds on Monday night said they would be introducing “new measures to protect and support Canadian workers and businesses during these challenging times.”

Trump doubles down

Following Carney’s announcement, U.S. President Donald Trump raged at Canada on his Truth Social platform on Monday, pledging to increase tariffs “on all Cars, Trucks, both large and small, Automotive Parts, and Steel” coming into the U.S. from Canada by 50% starting in January.

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“Build in the U.S. and there are ZERO TARIFFS,” Trump wrote on social media. “Canada will be treated like a State no longer! On Trade, and in other ways, also, they are among the worst Nations in the World to deal with. They feel entitled, and yet, WE DON’T NEED CANADA, THEY NEED US! They do 95% of their business with the U.S., with us, the exact opposite!”

Carney sticks to his guns

The prime minister has said that a deal was close, but 11th-hour terms presented by the U.S. compelled Canada to walk away from the negotiating table.

“The U.S. introduced, in the last hours, efforts to restrict our ability to have other trade deals,” Carney said shortly after talks fell through. “We’re the partner of choice in many respects for countries around the world, and the Americans wanted to restrict that. They had language that they wanted to restrict. Unacceptable.”

When asked to respond to U.S. Secretary of Transportation Sean Duffy’s comments that Canada would be forced to return to the table for talks, Carney said Canada will do so when American negotiators develop, “the right attitude towards their industries.”

Carney adds that the Americans are operating from a mindset that Canada is merely a subsidiary of the U.S. economy and ought to take what’s on offer, and he won’t have it.

“An attitude at the negotiation table that Canada is a subsidiary of the United States, that Canadian industry is going to be disadvantaged relative to American industry, that we’re going to set up terms so that over time Canadian industry is going to face constant headwinds, that’s not something we’re going to accept,” Carney said.

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