Canada has lifted the retaliatory 25% tariffs on most goods from the United States covered by the Canada-US-Mexico Agreement (CUSMA) as of September 1, 2025.

This significant change in US-Canada tariffs will definitely benefit both businesses and consumers alike. Let’s explore this recent development and its positive impacts on Canadian shoppers.

Recent Developments on US-Canada Tariffs

Last July, President Donald Trump signed an executive order increasing tariffs on certain Canadian goods to 35%. According to the Trump administration, this move was in response to fentanyl trafficking and Canada’s earlier decision to strike back with counter tariffs.

Ever since the trade war between the two countries began, Canada has imposed retaliatory tariffs on US goods three times, which included tariffs on $60 billion worth of US consumer goods, as well as additional tariffs on steel, aluminum, and autos.

However, following recent discussions with Trump, Prime Minister Mark Carney stated that the United States has made it clear that it would not impose tariffs on Canadian goods that were compliant with CUSMA.

In response, and to help push forward talks on a new trade and security relationship, Canada has removed some retaliatory tariffs on US goods covered under CUSMA.

US Goods Still Subject to Canadian Tariffs

For now, Canada will retain its 25% tariffs on steel, aluminum, and automobiles. However, we can expect changes on this soon, as the two countries will work towards a new trade agreement.

US Goods No Longer Subject to Canadian Tariffs

As of September 1, the following US goods are no longer subject to Canadian tariffs:

• Coffee and tea
• Nuts and beans
• Grain products, including wheat, rye, barley, oats and rice
• Orange juice
• Condiments including mustard, ketchup and other tomato sauces, mayonnaise and salad dressings
• Various spices and seasonings, including vanilla, pepper, cinnamon, nutmeg, thyme, ginger, cumin and others
• Protein powder
• Soups
• Cooking oil products, including canola, palm oils and sunflower oils
• Shrimp and prawns
• A swath of poultry products, including turkey, chicken and eggs
• Dairy products, including milk, cream, butter, yogurt, cheeses, ice cream and margarine
• Fruits and vegetables, including tomatoes, cucumbers, citrus fruits, melons, berries and stone fruits
• Confectionery products, including flours, sugars, honey, syrups and cocoa products
• Pastas
• Prepared bakery products, including pizza, pies, cakes and other pastries
• Bottled water
• Alcohol, including wine, beer, cider, whiskey, rum, gin, vodka, brandies and tequila (some provinces are still not selling certain American alcohol products)
• Tobacco, cigarette lighters and vapes
• Cosmetics, including perfumes and make-up
• Brooms and brushes, including hair brushes, combs, art brushes, paint rollers, machine brushes, floor sweepers and mops
• Various clothing items, including coats, jackets, suits, shirts, skirts, pants, shorts, dresses, underwear, bras, pyjamas, babywear, sports clothing, socks, scarves, gloves and belts
• Shoes, sandals, cleats, rubber boots and other waterproof footwear (including ski boots)
• Hats, including safety headgear
• Electric hair accessories, including dryers and irons
• Jewelry, gold, platinum, pearls, precious metals and gems
• Imitation jewelry
• Wristwatches and stopwatches
• Shaving products, including razors, shaving cream and aftershave
• Suitcases, handbags and other bags
• Travel sets that include toiletries, sewing and other cleaning items
• Toiletries, including shampoos, toothpaste, deodorant and soaps
• Plastic building materials, including flooring, shutters, blinds and doors
• Bathroom appliances and accessories, including bathtubs, toilet seats, showers and sinks
• Toilet sprays
• Kitchen appliances, including stoves, microwaves, bread makers, hot plates, toasters, coffee makers and portable stoves
• Radiators, heaters and parts used for stoves
• Dishwashers, refrigerators, freezers and laundry machines
• Kitchen and glassware, including forks, spoons, knives and cups
• Ceramic, cast iron, aluminum and steel kitchenware
• Other ceramics, including statues
• Table cloths, napkins, handkerchiefs and other facial tissues
• Towels, duster, dish and other cleaning cloths
• Lights, lamps, Christmas lights and light fixtures
• Candles
• Art
• Glues
• Notebooks, binders, folders and other stationery items
• Chalk and whiteboards
• Labellers
• Some paper and cardboard products, including pulp, toilet paper, envelopes, cards and postcards, boxes, bags, food packaging, plates and cups
• Some holiday decorations
• Furniture and mattresses
• Curtains, carpets and other textile floor coverings
• Blankets, linens and other bedding
• Sleeping bags
• Wooden furniture parts
• Lumber and wood products, including plywood, beams, fibreboard, windows, shingles, flooring, doors and door frames
• Umbrellas
• Walking sticks and canes
• Camping and other outdoor equipment, including tents, tarps, mattresses, rock climbing harnesses, life jackets and sails
• Snow plows, snow blowers and lawn mowers
• Tools such as saws, wrenches, drills, hammers and screwdrivers
• Motorcycles
• Tires
• Car windshields and windows
• Fluid tanks and vats, including those for gas
• Drones
• Camera tripods, bipods and monopods
• Guns and ammunition
• Sewing and knitting items, such as needles, made from iron and steel
• Safety pins and springs
• Garden and other household tools, including shovels, picks, rakes, axes, shears and hoes
• Metal equipment used for mountaineering, such as axes, billhooks and hammers
• Mining tools, including boring drills
• Safes, filing cabinets, padlocks and keys
• Water heaters
• Portable lamps
• LED and other illuminated signs
• Glass and plastic parts used for searchlights
• Smoking lighters and pipes
• Electronics such as printers, copiers, data-processing machines and data storage units
• Cellphones and portable phone sets
• Audio and visual equipment, including microphones, microphone stands, speakers, amplifiers, headphones and monitors
• Sports equipment, including skis, water skis, some golfing equipment, table tennis gear, sporting rackets, various sporting balls, and fishing equipment
• Horse saddles and accessories
• Amusement park rides
• Kids’ tricycles, scooters, doll carriages and other similar toys with wheels
• Video game consoles
• Arcade games, casino slots and playing cards

What This Means for Canadian Shoppers

When tariffs are imposed, the cost of producing goods often increases. So, these increased costs can be passed on to consumers through higher product prices. This isn’t very good news for Canadian shoppers, as it would mean higher prices on their favourite US products.

However, now that the retaliatory tariffs have been lifted, we can expect to see prices decrease. You can shop from US brands once again at lower prices. With tariffs out of the way, you can expect smoother trade, fewer extra costs, and an even better cross-border shopping experience.

Final Thoughts

The removal of the Canadian tariffs on CUSMA-compliant US goods is something that favours Canadian shoppers. The impact of these changes may not be instant, but you can certainly expect to see price drops soon.

It’s best to stay updated with the latest news and check if the product you’re shipping is on the list of US goods no longer subject to retaliatory tariffs.

Use Shippsy for Affordable US-to-Canada Shipping

Shippsy recognizes the challenges posed by the ongoing trade war and how it can affect your overall cross-border shopping experience. This is why we do our best to keep our customers updated and provide them with the best package forwarding services.

To make your shopping experience even better, we continue to offer affordable shipping rates to our customers, with prices starting at 8.99 CAD for Ontario shipments and 9.99 CAD for shipments to Alberta, British Columbia, and Québec.

So, choose a reliable package forwarding service like Shippsy and shop from your favourite US stores with convenience and lots of savings.

Read more: US to Canada Shipping: The Ultimate Savings Guide (2025)

Jay Alagon

Jay Alagon serves as the business manager at Shippsy, where he aims to provide Canadians with access to all US retailers without worrying about high shipping costs, long delivery times, and complicated paperwork associated with cross-border shopping. Outside of work, he enjoys practicing martial arts and woodworking.

Read all posts written by  Jayson Alagon