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Ottawa Quietly Lifted Most U.S. Counter-Tariffs, Exceeding Carney’s Public Pledge

Officials cast the rollback as a step to revive trade talks with Washington.

Overview

  • An Aug. 29 order-in-council removed Canadian counter-tariffs on nearly all U.S. goods except steel, aluminum and automobiles.
  • The scope of the rollback went beyond Prime Minister Mark Carney’s Aug. 22 statement that removals would apply only to goods covered by CUSMA.
  • Parts of the order were applied retroactively to earlier 2025 periods, raising questions about timing and disclosure.
  • The Finance minister’s office says the change was designed to advance negotiations, provide stability to key sectors and safeguard Canada’s trading position.
  • Trade lawyers say the practical impact is likely modest given that roughly 90% of U.S. imports are typically CUSMA-compliant, though opposition leader Pierre Poilievre is criticizing the government’s messaging.