U.S. Tariffs Increase Costs and Uncertainty for Global Exporters

The United States has imposed tariffs on Canadian goods, including a 50% tariff on a range of products under Section 338 of the U.S. Tariff Act of 1930. Separately, the U.S. Trade Representative proposed additional tariffs on Brazilian exports, potentially impacting over half of goods shipped to the U.S. market. In response to the U.S. tariffs, Canada announced it would match the new tariffs dollar for dollar and provide $7.5 billion in support to affected businesses and workers.

The imposition of tariffs is increasing costs and creating uncertainty for international trade. Canadian exporters are responding by planning to enter new markets and pursuing broader trade strategies. For Brazilian industry, the proposed duties could significantly alter market access and increase costs for exports to the United States.