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Tariffs update

Prime Minister Mark Carney and our government are actively responding to the recent announcement by President Trump to increase U.S. tariffs to 35% on Canadian exports not covered under the Canada-United States-Mexico Agreement (CUSMA). While this action is disappointing, the government remains firmly committed to CUSMA, the world’s second-largest free trade agreement by trading volume.

Under CUSMA, the U.S. average tariff on Canadian goods remains one of the lowest among its trading partners. However, key sectors like lumber, steel, aluminum, and automobiles face significant impacts from U.S. tariffs. In response, our government is taking decisive action to protect Canadian jobs by investing in industrial competitiveness, encouraging Canadians to buy locally made products, and diversifying export markets to reduce reliance on any single trading partner.

Addressing the U.S. concerns about fentanyl, our government highlights that Canada accounts for only 1% of fentanyl imports into the U.S. and has invested heavily in border security. These historic measures include thousands of new law enforcement officers, aerial surveillance, intelligence operations, and the strongest border legislation in Canada’s history. The government continues to collaborate with the United States to stop fentanyl trafficking and save lives on both sides of the border.

Looking forward, Prime Minister Carney is focused on building a stronger Canada. The federal government is partnering with provinces, territories, and Indigenous communities to reduce internal trade barriers and launch major nation-building projects. This comprehensive industrial strategy will boost domestic production, support businesses in adapting and innovating, and create well-paying jobs, ensuring that Canadians remain their own best customers and that Canada’s economy grows stronger and more resilient