Canada, EU retaliate against U.S. metals tariff

Canada on Wednesday slapped the United States with retaliatory tariffs on more than $20 billion of U.S. goods hours after 25% U.S. tariffs on steel and aluminum went into effect, the CBC reported.

The European Union on Wednesday also announced counter-tariffs on imports from the United States. Starting on April 1, it plans to enforce levies that were previously announced during Trump’s first term but later suspended. The bloc is also adding new tariffs in mid-April. The two sets of countermeasures will apply to $28 billion of U.S. exports.

Which U.S. goods are affected? Canada is taxing imports of U.S. metals, sports equipment, and computers, among others. Meat, poultry, produce, and alcoholic beverages top the EU duties list, which also includes lumber, jeans, and various machinery including motorcycles.

Are there any exceptions to the U.S. metals tariffs? Trump’s new 25% tariffs are imposed on all countries’ metals exports to the United States without exception. The president briefly threatened to levy 50% duties on Canadian metals in response to Ontario’s planned surcharge on electricity sold to several U.S. states. However, Ontario Premier Doug Ford on Tuesday said he wouldn’t go forward with the surcharge after talking to U.S. Commerce Secretary Howard Lutnick. 

Dig deeper: Read my previous report on tariff exceptions for automakers and some Canadian and Mexican goods.