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Canada's Counter-Tariffs on the U.S. Take Effect at Midnight

Canada's retaliatory tariffs against the United States are set to kick in after midnight, and one international affairs expert warns this next phase of the trade war could get messy fast. The volatility coming out of the White House is adding an extra layer of uncertainty to how Ottawa and Washington navigate the fallout.

·By ·3 min read·Updated
Canada's Counter-Tariffs on the U.S. Take Effect at Midnight
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Counter-tariffs set to land at midnight

Canada's counter-tariffs against the United States are expected to take effect after midnight, marking the latest escalation in an ongoing trade dispute between the two countries. The move comes as a direct response to tariffs already imposed by the U.S., and it sets up what could be a tense stretch for cross-border trade.

An international affairs expert cautioned that the fallout from this phase of the dispute could get ugly, largely because of how unpredictable the U.S. president has proven to be throughout the trade fight. That volatility makes it hard for businesses and policymakers on either side of the border to plan more than a few days ahead.

Why this matters for Canadians

Tariffs, whether they're the ones the U.S. has placed on Canadian goods or the retaliatory measures Canada is rolling out in response, tend to work their way through the economy in ways that touch everyday life. Higher costs on affected goods can ripple down to consumers, and industries that rely on cross-border supply chains often feel the squeeze first.

The back and forth has already put pressure on sectors that depend heavily on trade with the U.S., and further escalation raises the stakes for manufacturers, exporters, and retailers who move goods across the border regularly.

An unpredictable next chapter

What makes this round different, according to the expert cited in the report, is the sheer unpredictability coming from the American side. Trade disputes are hard enough to manage when both sides play by a consistent set of rules, but when one party's position can shift suddenly, businesses and government officials alike are left scrambling to react rather than plan.

That uncertainty is part of why this moment is being watched so closely. Canada's decision to move forward with counter-tariffs signals that Ottawa isn't backing down, but it also means the two countries are heading into a period where the rules of engagement could change again with little warning.

What comes next

As the counter-tariffs take effect, attention will turn to how Washington responds and whether the situation cools down or escalates further. For now, the message from Ottawa is clear: Canada is prepared to match tariff action with tariff action rather than simply absorb the cost of U.S. trade policy.

For Canadians watching from the sidelines, the immediate impact may not be obvious overnight, but the effects of a prolonged trade standoff tend to show up gradually, in pricing, in supply chains, and in the broader economic mood. With so much riding on decisions made in Washington, the coming days could offer an early read on where this next chapter of the trade war is headed.

Source: CBC

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