The United States has imposed 25% tariffs on “all articles that are products of Canada”, except for imports of energy resources which will be subject to 10% tariffs. In response, Canada is imposing 25% tariffs on various U.S. goods, the first phase of which is effective March 4, 2025. Canada is also asking stakeholders to provide feedback on goods included in the second phase of intended counter tariffs, which take effect following a 21-day consultation. Canada will accept submissions on the impacts of counter tariffs to these goods until March 25, 2025.
The United States tariffs and the first phase of Canadian counter tariffs were previously set to take effect on February 4, 2025, but their implementation was delayed for 30 days. As these tariffs will significantly affect many businesses, your KPMG adviser can help you assess different potential strategies and scenarios that may apply to your specific facts and circumstances by using our digital tools that allow us to quantify your exposure to the new trade measures, among other analyses. You may want to consider providing feedback on goods included in the planned second phase of the Canadian counter tariffs. We can also help determine whether you may be eligible for tariff relief under the Canada’s Department of Finance’s remission program, or other customs programs.
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