Canada answers with tariffs against U.S., unveils $7.5B loan for industries targeted by Trump

Defiant Canadian leaders announced tariffs against nearly $28 billion in U.S. products on Tuesday, saying President Trump’s levies required a “dollar for dollar” response as they refused to relent to his demands.

The counter-tariffs of 15%, 25% or 50% would be tailored, they said, to match the product categories targeted by Mr. Trump over the weekend.

The Canadian levies are focused on steel and aluminum, dairy, appliances, agricultural equipment, pulp and paper, plastics, and electronics.

Canada will ramp up existing tariffs on select sectors, such as steel and aluminum, from 25% to 50% to match U.S. rates.

Also Tuesday, Canadian officials said they would roll out a $7.5 billion package of support for businesses hit by Mr. Trump’s tariffs.

“We stand united in our response, we stand united in our resolve, we stand united in fighting for Canada,” said Francois-Philippe Champagne, minister of national revenue for Canada. “When Canadians stand together, nothing can stop us.”

The Trump administration and the government of Canadian Prime Minister Mark Carney are engaged in a war of economic pressure and rhetoric after trade talks collapsed Friday.

Tariffs, which are duties on foreign goods brought to U.S. markets, are Mr. Trump’s preferred tool for economic leverage.

He says too many countries take advantage of the rich U.S. by selling products to Americans while refusing to buy U.S.-made products.

Mr. Trump on Saturday imposed 50% tariffs on about $20 billion in Canadian goods in response to Canada’s treatment of U.S. products such as alcohol, autos and dairy that the administration considered discriminatory and unfair.

Canadian officials said the U.S. made unacceptable demands and said their counter-tariffs would start Sept. 8.

“They asked too much of Canada and offered little in return,” Mr. Champagne said.