Dear Valued Customer,

Recent, trade talks between the United States (U.S.) and Canada broke down, prompting the U.S. to follow through on its July 20, 2026 announcement to impose 50% tariffs on certain Canadian goods under Section 338, which allows the President to levy tariffs of up to 50% on countries determined to be discriminating against U.S. commerce. The tariffs took effect on August 22, 2026.

Products currently subject to the new tariffs include alcoholic beverages, motor vehicles, and dairy products. A full list of affected items can be found here.

In response, Canada has announced retaliatory tariffs on U.S. steel and dairy products. Those measures are expected to take effect on September 8, 2026. The Trump Administration has also stated that, should Canada proceed with its retaliatory actions, tariffs on Canadian cars, trucks, auto parts, and steel will increase to 50% effective January 1, 2027.

This remains a fluid and rapidly evolving situation, and additional changes may occur at any time. We will continue to monitor developments and provide updates as new information becomes available.

In the meantime, if you have any questions about how these tariffs may affect your business, please click here to reach out to an OEC customs brokerage consultant.

Thank you!

Sincerely,

OEC Group