OTTAWA
The federal government is extending a key tariff relief measure on U.S. imports for another year while removing the relief for some goods to encourage the use of Canadian-made products.
Finance Minister François-Philippe Champagne announced the changes on Monday, saying they aim to better support Canadian businesses and workers affected by U.S. tariffs.
The broad exemption, known as horizontal remission, will now be in place until June 30, 2028.
“By adjusting our tariff relief measures, we are helping our businesses staying competitive, encouraging the use of Canadian-made goods, and protecting our industries and workers most impacted by the unfair U.S. tariffs,” Champagne said in a statement.
The relief is also being expanded to include non-steel goods used in mining, quarrying, or the extraction of oil and gas, and all goods used by public education entities, including those mandated by Indigenous organizations.
However, the government said it will gradually remove goods from the program that can reliably be sourced in Canada.
Horizontal relief will be removed for certain trailers effective Dec. 1, 2026, and for certain aluminum wire and extrusions and paperboard products on Feb. 1, 2027.
The government said this lead time will allow importers to adjust their supply chains or seek case-by-case remission.
It is also granting targeted tariff relief for certain imported goods that are in short supply in the Canadian market, and for companies facing exceptional circumstances, such as pre-existing contractual obligations.
“Extending these tariff relief measures gives Canadian companies the support they need today while encouraging greater use of Canadian-made goods and services,” said Dominic LeBlanc, the President of the King’s Privy Council for Canada and Minister responsible for Canada-U.S. Trade, Intergovernmental Affairs, Internal Trade and One Canadian Economy.
Industry Minister Mélanie Joly said the updated measures will continue to build more resilient supply chains and strengthen Canada's economic security.
“In a more uncertain world, Canada will continue to invest in the workers and industries facing the unfair U.S. tariffs,” Joly said.
The government said it will now publish detailed product schedules on the Department of Finance's website, a change it says will streamline the regulatory process and provide more immediate relief and greater transparency for stakeholders.
The horizontal relief was first implemented on April 16, 2025, for U.S. goods imported for certain end uses in Canada and has been extended and amended several times since.
On Sept. 8, 2026, Canada implemented additional counter-tariffs of 15 to 50 percent on a range of U.S. imports of goods produced by Canadian companies most impacted by recent U.S. tariffs, and existing horizontal and product-specific remission was carried over to these new tariffs.
According to the Department of Finance, the initial framework for remission, announced on March 4, 2025, stated that relief would only be considered in situations of exceptional circumstances with significant negative impacts on the Canadian economy.
Effective Nov. 9, 2026, horizontal tariff relief is in place for U.S. goods imported for use by certain public health, public safety, national security or public education organizations, for packaging in agricultural production or food and beverage manufacturing, and for mining, quarrying, or the extraction of oil or natural gas.
e2gold.ca reported earlier this month that U.S. tariffs are threatening the success of award-winning Canadian cheese in the American market.
This story was written by the e2gold.ca newsroom from reporting by Department of Finance Canada and Anadolu Ajansı. Quotes are checked word for word against that reporting.