CHICAGO (AP) — Canada has pledged to roll out “dollar-for-dollar” countertariffs on scores of U.S. goods next month in response to President Donald Trump’s latest import taxes, which have plunged the North American neighbors deeper into a bitter trade war.
Ottawa released a list of more than 700 targets Tuesday. Starting Sept. 8, Canada’s government says it will impose steeper import taxes on goods ranging from fish and cheese to smartphones and steel imported from the United States.
Canada said it was focusing its retaliation on products “most affected by U.S. tariffs.” The levies will be set at 15%, 25% or 50% — rates that the government said would match U.S. tariffs on goods targeted in Washington’s latest round as well as products covered by previously imposed sectoral duties.
Tuesday’s announcement came just days after the Trump administration’s 50% tariffs on roughly $20 billion of Canadian goods, ranging from honey to hockey sticks, took effect. That represents just 5% of the value of goods Canada sent to the U.S. last year, but the punishing rate comes on top of a series of tariffs Trump has imposed on the country during his second term in office. More threats of escalation have piled up in the meantime. As a result, businesses—and, by extension, households—on both sides of the border could soon feel the strain of even higher prices.
Here’s a recap of some of the affected products.
Canada plans to impose steeper tariffs on hundreds of U.S. products starting Sept. 8.
Many of the goods are highly specific and mirror products on which Washington began imposing 50% tariffs over the weekend. The list also includes products made of steel and aluminum, which already face a 50% U.S. sectoral tariff on most imports globally, although some goods qualify for lower duties under an adjustment rolled out by the White House earlier this year.
Some of the many U.S. items Canada is now targeting include:
The new tariffs on these products will carry rates of 15%, 25% or 50%. Canada’s tariffs on many American products would double from 25% to 50%, with the largest share of the new measures affecting steel and aluminum.
The Trump administration already outlined its own lengthy list of more than 550 Canadian products that are now subject to 50% tariffs. That list includes natural honey, vegetable seeds and flower bulbs; alcoholic beverages such as beer and vermouth; ice skates and other sports accessories; various household goods; and smartphones.
Trump imposed the tariffs by reaching back to a long-dormant Great Depression-era law. Section 338 of the Tariff Act of 1930, which has never been used before, authorizes the president to impose import taxes of up to 50% on goods from countries that have discriminated against U.S. businesses.
Trump claimed that Canada discriminated against U.S. autos, alcohol and dairy products, particularly following the implementation of his earlier import taxes last year. It’s worth noting that the list of Canadian goods facing the latest levy is far more diverse.
Threats of stronger countermeasures and further escalation have continued to pile up—and it’s possible that even more products could face steeper import taxes down the road.
Trump took to social media Monday to say that his administration would also increase tariffs on Canadian cars, trucks, automotive parts and steel to 50% starting Jan. 1, 2027. Like other countries, Canada currently faces a broader 25% tariff on autos. A 50% sectoral tariff on most steel imports is already in effect.
Canadian Prime Minister Mark Carney said the auto-sector proposal would “gradually dismantle” Canadian production. He also accused Washington of trying to subordinate Canada and said U.S. demands during the failed talks showed that Americans wanted to “destroy our major industries.”
Beyond tariffs, Trump added another provocation Tuesday, saying the United States was giving “serious consideration” to renaming Lake Ontario “Lake America” amid a feud with Ontario Premier Doug Ford. Ford told The Associated Press this week that his province would be ready to cut off electricity and critical minerals to the U.S. if the trade war worsens.
AP Writer Rob Gillies in Toronto contributed to this report.
Minister of Finance and National Revenue Francois-Philippe Champagne speaks at a news conference on Canada's response to U.S. tariffs, at a roofing company in Ottawa, on Tuesday, Aug. 25, 2026. (Justin Tang/The Canadian Press via AP)
An oil tanker was hit with a projectile off the coast of Oman in the Strait of Hormuz, according to a report on Tuesday that underscored the ongoing dangers for shipping companies attempting to use the waterway while it's under Iranian control.
The attack came as a high-level delegation from Pakistan, which has been a main mediator between the United States and Iran, was wrapping up meetings in Tehran aimed at bringing a negotiated end to the nearly six-month war.
Here’s a look at the latest developments in the Iran war and the wider Middle East. Full coverage can be found here.
The oil tanker was hit on Monday night a few miles off Oman, the British military's United Kingdom Maritime Trade Organization reported.
The strike disabled the ship's engine, but all crew were reported safe, the UKMTO said. There were no immediate reports of any environmental impact.
About a fifth of the world's traded oil passed through the Strait of Hormuz before the U.S. and Israel attacked Iran on Feb. 28.
Iran periodically fires at vessels attempting to transit the strait to enforce its stranglehold on the waterway, though there was no immediate claim for Monday's attack. The U.S. has also fired on vessels while imposing a blockade of Iranian ports.
A delegation from Pakistan led by army chief Field Marshal Asim Munir departed from Tehran on Tuesday after talks with Iran’s president and other senior officials on reopening the Strait of Hormuz and reviving negotiations to end the Iran-U.S. conflict, the Pakistani military said.
Pakistan has sought to mediate a resolution between Iran and the U.S., maintaining contacts with officials in both countries. Pakistani Interior Minister Mohsin Naqvi said a meeting with Iranian President Masoud Pezeshkian had been “very positive and productive.”
Iran and Oman, located on the opposite side of the strait from Iran, are finalizing their own proposal for managing the waterway. Oman’s foreign minister was to meet with Iranian authorities Tuesday.
Tuesday marked one year since Israeli soldiers killed 22 Palestinians, including journalists and rescue workers, in a double strike on a hospital in Gaza that provoked global outrage. No one has been held accountable.
Israeli officials said the target was a suspected Hamas camera on the roof of Nasser Hospital. Among those killed were Reuters cameraman Hussam al-Masri and Mariam Dagga, a visual journalist who worked for The Associated Press and other news organizations.
Despite repeated requests by the AP, the army has not provided details about the investigation or a timeline for when it could be completed. Rights groups say Israel rarely holds troops accountable for killing Palestinians, pointing to long investigations that rarely lead to prosecution.
China's Foreign Ministry says it is closely following plans announced by U.S. Treasury Secretary Scott Bessent to expand sanctions to entities and individuals linked to Iran, including some based in China.
Foreign Ministry spokesperson Lin Jian said China-Iran cooperation “should not be disrupted or undermined,” noting that it has conformed with international law.
China is one of Iran's biggest trading partners and purchases the majority of its total oil exports.
The Treasury Department on Monday said it was imposing sanctions on nearly 60 Iran-linked entities, including several based in China. It stopped short of imposing secondary sanctions on countries that trade with Iran.
An Israeli airstrike on Tuesday killed at least one Palestinian and wounded four others in southern Gaza, hospital officials said.
The strike hit a group of people northwest of the city of Khan Younis, according to the city’s Nasser hospital. The Israeli military said it struck a suspected militant in the area.
The death was the latest among Palestinians in Gaza since an October ceasefire attempted to halt more than two years of war between Israel and Hamas.
Israel on Tuesday seized a U.N.-run facility housing a vocational school on the outskirts of Jerusalem, advancing its campaign against the U.N. agency that provides humanitarian services to millions of Palestinian refugees across the Mideast.
Israel’s Foreign Ministry said the agency, known as UNRWA, does not own the land. Israel cited similar reasoning when its forces demolished the agency’s former East Jerusalem headquarters in January.
The U.N. interim Mideast coordinator, Ramiz Alakbarov, called the seizure unlawful and said it deprived 340 Palestinian refugees of educational services.
Israel has accused UNRWA of anti-Israel bias and at times of employing Palestinian militants. The United Nations and UNRWA have denied the accusations and say they investigate credible allegations and act quickly to purge suspected militants among staff.
A far-right Israeli lawmaker smashed a Palestinian memorial in the occupied West Bank on Tuesday after entering the village of Madama with an Israeli military escort.
Video showed Tzvi Succot, a Knesset member from the Religious Zionism party, destroying the monument with a hammer while Israeli soldiers stood nearby. Succot said the monument glorified terrorism.
The Israeli military said it authorized and provided security for Succot’s trip, but did not grant him permission to demolish the monument.
Riyad Abu Dagga, 69, visits the grave of his daughter, Mariam Dagga, a freelance journalist who worked with The Associated Press and other news outlets during the Gaza war and was killed in an Israeli airstrike on the Nasser Hospital building in Khan Younis on Aug. 25, 2025, at a cemetery in Khan Younis, Gaza Strip, Aug. 16, 2026. (AP Photo/Abdel Kareem Hana)
Treasury Secretary Scott Bessent speaks at a news conference, Monday, Aug. 24, 2026, at the Treasury Department in Washington. (AP Photo/Julia Demaree Nikhinson)
In this photo released by Islamic Consultative Assembly News Agency, ICANA, Iran's Parliament Speaker and top negotiator Mohammad Bagher Qalibaf, right, speaks with Pakistan's Army Chief Field Marshal Gen. Asim Munir during their meeting in Tehran, Iran, Monday, Aug. 24, 2026. (Mahmoud Hosseini/ICANA via AP)
In this photo released by Islamic Consultative Assembly News Agency, ICANA, Iran's Parliament Speaker and top negotiator Mohammad Bagher Qalibaf, right, shakes hands with Pakistan's Army Chief Field Marshal Gen. Asim Munir during their meeting in Tehran, Iran, Monday, Aug. 24, 2026. (Mahmoud Hosseini/ICANA via AP)
In this photo released by the Iranian Presidency Office, President Masoud Pezeshkian, right, meets Pakistan's Army Chief Field Marshal Gen. Asim Munir in Tehran, Iran, Monday, Aug. 24, 2026. (Iranian Presidency Office via AP)
