Canada Fights to Avert New U.S. Tariffs on $20B of Exports

Canada is rushing to strike a deal with the U.S. to avert up to $20 billion in new tariffs on Canadian exports under Section 338, with negotiators in Washington ahead of a Wednesday deadline; the affected goods include hockey sticks, clothing, wines, dairy and building materials like cement and plywood, while energy and some minerals are exempt. Ottawa says the measures violate the USMCA, while Washington argues they address discriminatory Canadian policies, and a deal — if reached — could still pass higher prices onto consumers in both countries as inflation pressures persist.