OTTAWA — Canada is hiking tariffs to 50 per cent on some American products after the U.S. did the same on billions of dollars worth of Canadian exports on Saturday.

The latest trade escalation comes after the two countries failed to reach a new deal by a deadline imposed by U.S. President Donald Trump.

Here’s what federal ministers and industry leaders are saying in response:

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“This is an unprecedented challenge imposed on Canada, but Canada will meet the moment. Canadians will meet the moment, we will meet the moment together. And as the prime minister has said, we will support our workers, our businesses and our industry with whatever it takes for as long as it takes.”

“When the United States of America asked too much and offered too little, we made a choice. We chose Canada.”

Finance Minister François-Philippe Champagne

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“We cannot control the decisions made in Washington, but we can control what we build here at home. And we are already seeing Canadian companies step up like never before. These companies are showing us what Canada can do when we bet on ourselves.”

“Economic sovereignty means having the capacity to produce, invest and grow in Canada. Building at home is not plan B, it’s plan A.”

Industry Minister Melanie Joly

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“We understand the government’s urgency to deliver rapid, agile and simple relief measures, which is why we cannot let red tape get in the way of being effective. We want to give business urgent relief and breathing space at this time, while they work to figure out the path ahead. So, we see that the intention of loans are helpful, but they can also be a monkey on the back when they come due.”

Candace Laing, president and CEO of the Canadian Chamber of Commerce

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“We appreciate the government’s quick action to address the serious pressures facing Canadian industries and impacted families. The forest sector has been one of the hardest hit sectors in this ongoing trade dispute. Duties and tariffs on billions of dollars worth of our products now range from 25 per cent to 85 per cent. The addition of Section 338 tariffs over the weekend make immediate federal support essential to help keep facilities operating and employees connected to their places of work.”

Derek Nighbor, president and CEO of The Forest Products Association of Canada

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“Associated Equipment Distributors has always had a stance supporting free and fair trade in North America, as the best means for achieving economic prosperity and growth in the sectors our members serve. Tariffs and retaliatory tariffs damage the economies on both sides of the border. Any measures that target equipment that builds, feeds and fuels both countries are detrimental regardless of if they’re imposed by Canada or the United States. AED will continue to work with officials and political leaders on both sides of the border to encourage a return to the bargaining table.”

Brian McGuire, president and CEO of Associated Equipment Distributors

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“If reports are correct that the United States was asking for a veto on Canada’s other free trade deals, Prime Minister Mark Carney did the right thing by walking away from the negotiating table. Any language that would have also given the U.S. the ability to change the terms of the deal at a moment’s notice also justifies Carney’s decision. However, the collapse of negotiations and President Donald Trump’s new tariffs should not automatically mean that Canada imposes retaliatory tariffs. Canada’s politicians have been all over U.S. airwaves arguing that tariffs are taxes paid for by domestic consumers. They’re right in making that argument, which is precisely why it would be wrong to impose them here.”

Jay Goldberg, North American affairs manager for the Consumer Choice Center

This report by The Canadian Press was first published Aug. 25, 2026.