The U.S. announced a 50% tariff on a wide range of Canadian goods under Section 338 of the Tariff Act of 1930 on July 20, 2026, effective August 19, 2026.
The tariff applies based on the entry date, not the shipment date, so goods must arrive and clear U.S. customs before 12:01 a.m. ET on August 19 to avoid the duty.
CUSMA status does not exempt covered goods from this tariff.
As reported in the Globe and Mail on Aug. 12, Canada and the U.S. are in active talks, and there are legitimate reasons to expect a delay or partial resolution, but companies should still plan as if the deadline holds.
Affected industries are flagging significant export exposure and are pressing Ottawa for a delay or a CUSMA carve-out.
Exporters need to work backward from realistic arrival and entry timing, factoring in transit time, border congestion, and carrier schedules, rather than working forward from a planned ship date.