Overview

• Prime Minister Mark Carney announced Canada will remove tariffs on U.S. goods that qualify under the T‑MEC, aligning with U.S. exemptions granted earlier this month.
• The changes take effect September 1, while 25% retaliatory duties on automobiles, steel and aluminum will remain in place to protect strategic sectors.
• President Donald Trump and Carney held their first call since June, described by Canada as productive, and agreed to resume dialogue soon.
• U.S. punitive tariffs of up to 35% on Canadian products, imposed on August 1 for goods outside T‑MEC coverage, remain in force.
• Canadian ministers met with Mexico’s president to coordinate positions and prepare Carney’s upcoming visit as the region looks ahead to the 2026 T‑MEC review, with officials noting most bilateral trade remains tariff‑free.