Canadian Prime Minister Mark Carney Announces Tariff Elimination
Canada will eliminate all tariffs on US products that comply with the United States-Mexico-Canada Agreement (USMCA), announced Prime Minister Mark Carney on Friday.
This move comes in response to the exemptions granted earlier this month by Washington to Canadian products.
Current Tariff Status
Carney clarified that tariffs on US automobiles, steel, and aluminum will remain in place for now during a press conference in Ottawa.
USMCA Tariff Elimination
Starting September 1, the Canadian government will remove customs duties on US products as per the USMCA, aligning Canada’s tariffs with those currently in effect in the US. Carney stated this during a press conference.
“In light of this context and in accordance with Canada’s commitment to the USMCA, I am pleased to announce today that the Canadian government will now match the US by eliminating all tariffs on specific US goods covered under the USMCA,” Carney said.
“Canada and the US have now restored free trade for the vast majority of our goods,” he added, emphasizing that Canadian exports continued to face generally low tariffs from the US compared to their trading partners.
Negotiations and Timing
Carney’s announcement comes the day after a conversation with US President Donald Trump and as Canada and the US intensify negotiations for a broader trade agreement.
Key Questions and Answers
- What tariffs will be eliminated? Tariffs on US products that comply with the USMCA.
- Who announced this change? Canadian Prime Minister Mark Carney.
- When will these tariffs be eliminated? Starting September 1, 2022.
- Which tariffs will remain in place? Tariffs on US automobiles, steel, and aluminum.
- What is the context of this announcement? This move follows US exemptions granted to Canadian products and comes as both nations intensify negotiations for a broader trade agreement.
