NORTH BATTLEFORD, Sask. – While the details of Canada's counter tariffs haven't been rolled out yet, the Battlefords and District Chamber of Commerce says a number of local industries are expected to be impacted by U.S. imposed tariffs.
According to the federal government, as a result of the United States' decision to impose a 50 per cent tariff on $27.6 billion of Canadian goods effective Aug. 22, the Government of Canada will match the U.S. Section 338 tariffs – dollar for dollar.
Effective Sept. 8, Canada will impose 15, 25, and 50 per cent tariffs on products drawn from those targeted by U.S. Section 338 and Section 232 tariffs, with individual product rates based on the matching U.S. rate for the same goods.
Canada's counter tariffs will apply to products covering $27.6 billion in imports from the U.S. and will focus on sectors such as steel, dairy, appliances, agricultural equipment, pulp and paper, and electronics, that are most impacted by U.S. tariffs.
These tariffs only apply to goods originating from the U.S.
"We're hearing that there's some challenges with the implementation of counter-tariffs," said Battlefords and District Chamber of Commerce Chief Operating Officer Gregory Kwong. "We don't have all the answers on that front because it still hasn't been rolled out with detail until next week."
For businesses, he said that the U.S. tariffs would have an impact on local businesses and consumers.
He said that small- and medium-sized enterprises can apply to the Regional Tariff Response Initiative being delivered by the Prairies Economic Development Canada – PrairiesCan.
"The Canadian Chamber of Commerce indicates the need to focus on long-term pivots," Kwong said. "But we were pleased to see the government move at the speed of business to implement support in response to tariffs. This can be done through equipping more businesses with the ability to diversify trading partners, sell more within Canada, and upscale their workers for the modern economy."
He said businesses can look to alternative sources of inputs and resources.
Kwong said that businesses are expected to start seeing increased costs due to U.S. tariffs.
"The local industries that would be most impacted would be the trades, agriculture, manufacturing, and retail, including but not limited to appliances and furniture," he said.
"Supply chain issues still exist post-COVID," Kwong added. "These tariffs add another level of complexity."
Linda Machniak, Battlefords and District Chamber of Commerce senior adviser, said costs are going to go up for agricultural equipment in manufacturing.
"I think we're hearing that a lot of the manufacturing people are trying to find different source locations for their inputs, so that they're not having to pay that tariff," she said.
