Canada to impose counter-tariff on over $20 billion of U.S. goods

OTTAWA, Ontario, Canada (NBC, KYMA) - Canadian federal government officials said Tuesday Ottawa will impose 15% to 50% counter-tariff on over $20 billion of U.S. goods, effective September 8.

From makeup to smartphones to kitchen appliances, officials laid out its plan to hit the U.S., with dollar for dollar counter-tariffs that will impact around 700 different American products.

They also announced supports for Canadian workers and businesses, such as temporary changes to employment insurance.

After weeks of intense talks, Canada and the U.S. failed to strike a last minute trade deal late Friday, leading to President Donald Trump's new slate of 50% tariffs on billions of dollars worth of Canadian goods to come into effect.

The affected items even include those covered under the Canada-U.S.-Mexico Agreement (CUSMA).

The Trump Administration says it is imposing new tariffs under Section 338 of the Tariff Act of 1930 over what Americans are describing as discriminatory trade policies, including the provincial ban on U.S. alcohol.

On Tuesday, Canadian officials told reporters that the list of tariffed items were designed to match the U.S. levies on Canadian products, with individual product rates based on matching the U.S. rate for the same goods.

For example, tariffs on steel and aluminum imports from the U.S. will now go from 25% to 50%, as will tariffs on furniture and clothing.

Other notable items being tariffed at 50% include: Perfumes and makeup, smartphones, milk products, honey, molasses and malt extract, among others.

The list of products being hit with 25% tariffs include a variety of seafood products, large kitchen appliances, cheese and curd products, carpets and textiles.

Air conditioning machines, meanwhile, are among the shorter list of products being slapped with a 15% tariff.