OTTAWA
The federal government is extending its tariff relief program for firms importing U.S. goods by one year and expanding the list of eligible items.
The program's expiration date will be extended to June 30, 2028, the government said Monday.
Effective immediately, the program will expand to include non-steel goods used in mining, quarrying and oil and gas extraction.
"Extending these tariff relief measures gives Canadian companies the support they need today while encouraging greater use of Canadian-made goods and services," said Canada-U.S. Trade Minister Dominic LeBlanc in a statement.
Goods used by public education entities, including those mandated by Indigenous organizations, will also be eligible for relief.
Certain goods integral to national security, public health and packaging in the agricultural and food and beverage sectors are also exempt.
Ottawa says it is also planning to exclude goods from the remissions program that can reliably be sourced in Canada.
Certain trailers will be removed from the program on Dec. 1, while aluminum wire and extrusions and paperboard products will be taken out on Feb. 1, 2027.
The program, known as a temporary remission program, has been offered since the early days of Canada’s retaliatory duties against the United States to reduce the burden on Canadian firms.
The government has routinely extended the program and modified what’s eligible as it looks to give itself more time to help firms transition away from U.S. suppliers, particularly for steel.
Canada has maintained retaliatory tariffs on U.S. steel and aluminum imports for most of the trade dispute, but the federal government ramped up its response in September as a new wave of U.S. duties took effect.
The government now imposes counter-tariffs on a range of U.S. goods varying from 15 to 50 per cent.
The federal government’s remissions program has been criticized in the past by the Canadian Steel Producers Association.
The group said the relief program removes the pressure on firms to pivot to Canadian suppliers.
LeBlanc argued in his statement that extending and adjusting these measures strikes the right balance.
Since the early days of the trade dispute, Ottawa has offered the program to reduce the burden on Canadian firms caught in the tariff crossfire.
The government has routinely extended that program and modified what’s eligible for remissions.
Goods used in manufacturing and agricultural production are also included in the expanded eligibility, according to Global News.
e2gold.ca reported last week that U.S. tariffs are threatening the success of award-winning Canadian cheese in the American market.
Another recent report noted that the trade war with Canada shaped key U.S. midterm races, helping Democrats flip the Senate.
This story was written by the e2gold.ca newsroom from reporting by The Globe and Mail, Toronto Star, Global News and Castanet. Quotes are checked word for word against that reporting.