Canada Extends Tariff Relief on Certain US Goods, Introduces Exemption Process

Tariff relief may be on the way, but it’s not coming from Washington.

On Monday, the Canadian government’s Department of Finance announced plans to extend a suspension of duties on certain American industrial imports in order to support Canadian workers impacted by the tit-for-tat trade war between North American neighbors.

François-Philippe Champagne, Minister of Finance and National Revenue said that Canada would extend a “horizontal remission” for tariffs on goods from the United States, including steel and aluminum, by one year, until June 30, 2028. The relief will extend to products used for mining, quarrying and natural gas extraction, manufacturing and processing, agricultural production and packaging for food and agricultural goods.

What’s more, the government is granting “targeted tariff relief” for certain other U.S. imports that are in short supply in the Canadian market. Importers will be allowed to apply for exemptions on goods that don’t have an analogous source within Canada.

It’s not all good news for U.S. exporters, though. Based on feedback from the domestic industry and in order to encourage the use of homegrown inputs, Champagne said existing relief measures would be removed on Dec. 1 for certain trailers, and on Feb. 1 for a range of wire extrusions and paperboard products.

Detailed product schedules will be published by the Department of Finance moving forward.

“As Canadian businesses and workers continue to face growing global uncertainty, our government is committed to protecting and supporting them. By adjusting our tariff relief measures, we are helping our businesses staying competitive, encouraging the use of Canadian-made goods, and protecting our industries and workers most impacted by the unfair U.S. tariffs,” Champagne said.

Minister for U.S.-Canada Trade Dominic LeBlanc, who has participated in many of the negotiations between the two countries, said the action sends a signal to the White House.

“Canada’s message is clear: we will continue to stand up for Canadian workers and businesses in the face of unjustified U.S. tariffs,” he said. “Extending these tariff relief measures gives Canadian companies the support they need today while encouraging greater use of Canadian-made goods and services. By strengthening domestic supply chains and supporting Canadian producers, we are helping build a stronger, more resilient economy for the future.”

The move extends an April 16, 2025 order to implement a horizontal remission for certain products imported from U.S. producers, which has already been extended and amended. Those remissions remained in place on the specified products even after Canada imposed retaliatory duties of 15-50 percent on a wide range of American goods, including textiles and apparel, in September.

“In a more uncertain world, Canada will continue to invest in the workers and industries facing the unfair U.S. tariffs. These updated measures will continue to build more resilient supply chains, support our workers, and strengthen Canada’s economic security competitive advantage,” Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, added.