Canada’s latest response to the escalating trade dispute with the United States is a new round of dollar-for-dollar counter-tariffs that take effect today (Sept 8), announced after trade negotiations between Prime Minister Mark Carney’s government and the Trump administration broke down in late August.
The dispute intensified when the United States imposed new 50% tariffs on roughly $20 billion (USD) worth of Canadian imports on August 22. In response, Ottawa committed to the retaliatory measures that kicked-in today, targeting a range of over 700 U.S. products, including dairy products, steel, pulp, paper products, appliances, electronics, and agricultural equipment.
The federal government has framed the counter-tariffs as necessary to defend Canadian economic interests and negotiating credibility. Carney has argued that Canada should not accept trade terms that undermine key domestic industries or sovereignty in trade policy.
Public opinion appears broadly supportive of this tough stance. The latest Angus Reid Institute survey (released today) found that nearly three-quarters (73%) of respondents said Canada should refuse significant concessions to the United States even if doing so worsens trade relations. However, Canadians are divided on whether their country is negotiating from a position of strength: 31% saying the country is in a strong position, 34% viewing it as weak, and 22% describing the two countries as evenly matched.
The poll also suggests that Carney has benefited politically from his government’s hard-line approach. The Prime Minister’s approval rating has now risen to 62%, up 11 points from August, following the collapse of trade talks and his decision to walk away from negotiations. Earlier Angus Reid polling similarly found strong support for retaliatory tariffs, with almost two-thirds of Canadians backing some form of counter-tariff response rather than making concessions to avoid U.S. duties.
Overall, the public opinion polling indicates that while Canadians are uncertain about their country’s leverage in negotiations, they overwhelmingly support a firm negotiating position and are prepared to accept economic costs rather than agree to a deal seen as unfavourable to Canada.
As it stands now, there are no formal Canada-U.S. trade talks scheduled, leaving both sides in a holding pattern following the collapse of negotiations in August. A key question now is whether Washington will respond to Canada’s counter-tariffs with additional tariffs of its own, or potentially move toward outright restrictions or bans on selected Canadian products, further escalating the dispute.
Read the Angus Reid report here.
We’re Here to Help
For more information and insights about what these developments mean for Canada’s political landscape, please contact:
Cameron Friesen – Vice President, Manitoba
cameron@prairieskystrategy.ca
204.332.1445
Stacie Lara – Senior Strategy Advisor, Alberta
stacie@prairieskystrategy.ca
587.577.2313
Grant McLellan – Vice President, Saskatchewan
grant@prairieskystrategy.ca
306.530.0177
Mat Steppan – Vice President, Alberta
mat@prairieskystrategy.ca
780.236.1543
Richard Truscott – Vice President, Alberta
richard@prairieskystrategy.ca
403.998.0494
Jeff Sterzuk – President
jeff@prairieskystrategy.ca
403.612.1724
