Canada Proposes $125 Billion in Tariffs on U.S. Products After New Trade Escalation

The Canadian government has unveiled a proposed list of U.S. products that could face tariffs worth $125 billion, pending a 21-day public comment period.

As of March 4 at 12:01 AM, Canada already imposed retaliatory tariffs on an initial $30 billion list of goods, following the Trump administration’s decision to slap 25% tariffs on Canadian exports.

What’s on the $30 Billion List?

The initial list includes 1,256 product categories, covering items such as canola oil, cereal crops, and numerous food products.

What’s on the Proposed $125 Billion List?

The new proposed tariffs—covering 4,416 product categories—are set to take effect in late March. Many agricultural products and essential farming inputs are included, raising serious concerns about potential disruptions to supply chains and increased farm costs.

Highlighted products include:

  • Fertilizers—various nitrogen and phosphate types
  • Ethanol
  • Biodiesel (excluding renewable diesel)
  • Beef
  • Pork
  • Cattle, goats, sheep, and pigs
  • Corn (including seed corn)
  • Soybeans, soymeal
  • Canola meal
  • Forage seed
  • Agricultural machinery: tractors, combines, seeders, cultivators, harrows, manure spreaders, fertilizer spreaders, hay equipment, potato harvesters, grain carts, trailers, and more.

Feedback Period and Next Steps

Finance Canada is accepting public feedback on the proposed tariffs until March 25. After this deadline, the measures could be finalized and enforced.

“These countermeasures are intended to pressure the United States to remove its unjustified tariffs against Canada,” said Finance Canada. Products already in transit to Canada at the time of enforcement will be exempt.

In response, President Trump warned that the U.S. will further raise tariffs on Canadian goods if Canada retaliates.