Canadian tariffs on U.S. milk, perfume, golf clubs and other goods take effect as trade war grinds on

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Updated on: September 8, 2026 / 7:30 PM EDT

/ CBS News

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Canada's steep retaliatory tariffs on $20 billion in U.S. goods took effect just after midnight ET on Tuesday, extending the trade war between the two countries.The Canadian government announced the planned tariffs two weeks ago, after trade negotiations broke down and the Trump administration followed through on a threat to impose 50% duties on $20 billion worth of goods from Canada. Officials in Canada have vowed to match the U.S. levies "dollar for dollar."Canada's tariffs range from 15% to 50%. American milk, perfume, video game consoles, golf clubs, fishing rods, steel, aluminum, jackets and T-shirts will face 50% tariffs. Cheese, carpets and certain household appliances like stoves and air conditioners will be subject to 25% tariffs, and forklifts and industrial molds will face 15% tariffs.Initially, some American seafood was slated to face 25% tariffs, but Canada removed those tariffs from the list following pushback from the lobster industry.Economists say Canada's tariffs could hit manufacturers in Midwestern states like Michigan and Indiana particularly hard, as well as dairy producers in Wisconsin and Vermont.The levies were imposed in response to U.S. tariffs on Canadian milk, honey, hockey sticks, alcoholic beverages, plywood, down feathers, jewelry and other goods.The tit-for-tat tariffs impact a small fraction of the goods that flow across the U.S.-Canada border, which totaled more than $700 billion last year, according to U.S. government figures. But they mark an escalation in an increasingly bitter trade dispute between the two allies.