Listeners, here’s your Canada Tariff News and Tracker update for November 2, 2025.

Canada’s trade relationship with the United States remains under pressure as President Trump’s sweeping tariffs on Canadian imports continue to disrupt both economies. In March, Trump imposed a 25 percent economywide tariff on nearly all Canadian goods by declaring a national emergency at the northern border, citing the flow of fentanyl as justification, even though U.S. government data shows only a minimal volume of fentanyl is seized at Canada’s border compared to Mexico. These tariffs exempt goods compliant with the Canada-U.S.-Mexico Agreement, but the majority of Canada’s steel, aluminum, automotive, lumber, and copper exports have been hit hard, directly impacting core industries on both sides of the border as reported by Toronto CityNews.

In August, after Ottawa’s efforts to address U.S. concerns—including the appointment of a Fentanyl Czar, new border security laws, and increased aerial surveillance—Trump escalated duties to 35 percent, claiming Canada hadn’t done enough. According to The Canadian Press, these duties remain in place except for certain USMCA goods, and Canadian leadership, including Prime Minister Mark Carney, continues to warn that tariffs—even with negotiation—are here to stay.

This week, a crucial development is unfolding: the U.S. Supreme Court is set to hear arguments challenging Trump’s use of emergency powers to impose tariffs under the International Emergency Economic Powers Act. The Toronto CityNews and The Canadian Press highlight that even if the Supreme Court rules against these so-called “reciprocal tariffs,” it likely won’t shield Canada from sector-specific tariffs Trump applies under other U.S. laws, such as Section 232 of the Trade Expansion Act. These statutes have already brought sustained tariffs to Canadian steel, aluminum, auto parts, and more.

Ontario’s Premier has weighed in, running tough ads calling out U.S. policy, which prompted Trump this October to halt trade talks and threaten further tariff hikes. According to CBS News, the U.S. Senate recently voted in a largely symbolic move to end Trump’s national emergency on the Canadian border, but with the House unlikely to act, the tariffs remain firmly in place.

Criticism isn’t limited to Canada’s leadership. U.S. lawmakers such as Senator Amy Klobuchar have urged the administration to lift these tariffs, pointing out that they damage American consumers and manufacturers, drive up housing and car costs for families, and undermine the very USMCA trade pact the administration once championed.

Listeners, it’s clear Canada’s trade environment remains uncertain, with tariffs affecting industries, supermarkets, and families across both borders. Negotiations remain fragile, Supreme Court arguments are pending, and new tariff threats continue to emerge. For Canadian exporters, tariffs of 35 percent now apply on most non-USMCA goods entering the U.S. The situation is fluid and we’ll be watching every development.

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