10 September 2026Article
US–Canada Trade Update: New Tariffs and Import Restrictions Announced

The United States has announced new trade measures affecting Canadian imports, including changes to 50% Section 338 tariffs from 15 September and import restrictions on selected goods from 29 September 2026. Businesses trading between Canada and the US should review affected classifications and upcoming shipments.

The United States has announced a further escalation in trade measures affecting imports from Canada, with new 50% tariffs and a series of import restrictions due to take effect during September.

The measures follow the introduction of Canadian retaliatory tariffs and will be implemented in two stages, with tariff changes taking effect from 15 September 2026, followed by restrictions on selected Canadian imports from 29 September 2026.

Businesses trading between Canada and the United States should review the classification and origin of affected goods and assess whether upcoming shipments could be impacted.

Changes taking effect from 15 September

From 15 September, the United States will expand the range of Canadian-origin goods subject to 50% tariffs under Section 338.

The additional products span a number of sectors and tariff chapters, including:

  • Paper and paper-based products under Chapter 48
  • Selected steel and aluminium products
  • Certain base metal products
  • Furniture
  • Certain cheese and dairy-related products
  • Hides, skins and leather products
  • Golf carts and all-terrain vehicles
  • Motorboats

At the same time, a number of products are being removed from the existing Section 338 tariff measures. These include certain cement, salt, toilet paper and tissue products, bed linen, lead products and fishing rods, amongst other classifications.

Whiskies and liqueurs supplied in containers exceeding four litres are also being removed from the 50% tariff coverage.

The exact treatment will depend on the tariff classification of the goods, making accurate HS classification particularly important for businesses importing affected commodities.

Further import restrictions from 29 September

A second set of measures will take effect from 29 September, introducing restrictions on the import of a number of Canadian products into the United States.

The affected categories include:

Alcoholic beverages
Imports across 53 tariff subheadings within Chapter 22 will be prohibited, covering products including beer, wine and spirits.

Dairy and other food and beverage products
Certain dairy products classified under heading 0404 will be affected, alongside molasses and non-alcoholic beer.

Motorcycles
The measures will also prohibit imports of certain motorcycles with engine capacities exceeding 800cc, classified under subheading 8711.50.00.

The proclamations also provide that, should any of these import restrictions subsequently be invalidated, the affected goods would instead become subject to the 50% Section 338 tariff.

What should importers consider?

With different measures taking effect on 15 and 29 September, businesses moving goods from Canada into the United States should assess upcoming shipments as soon as possible.

Particular attention should be given to HS classification, Canadian origin, entry dates and the applicable tariff treatment.

Goods imported before 29 September but not entered or withdrawn from warehouse for consumption before that date may still be subject to the 50% Section 338 tariff rather than avoiding the measures altogether.

Businesses should therefore avoid relying solely on shipment or arrival dates when assessing potential exposure.

How Woodland Group can help

The latest measures add another layer of complexity for businesses managing US–Canada trade, particularly where products fall within newly affected tariff classifications.

Woodland Group's customs and trade compliance teams can support businesses in reviewing product classifications, understanding the potential impact of the new measures and identifying the appropriate customs treatment for upcoming shipments.

If you are concerned that your products or shipments may be affected by the September changes, contact our team to review your requirements.

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