Canada will eliminate most of the 25% counter-tariffs it imposed on U.S. goods, Prime Minister Mark Carney announced Friday. The change, effective 1 September 2025, aligns Canada’s tariff schedule with U.S. exemptions under the United States-Mexico-Canada Agreement (USMCA) and is meant to reduce bilateral trade friction. The duties, introduced in March and covering roughly CA$30 billion (US$21.7 billion) of imports ranging from fruit and alcohol to apparel and motorcycles, were a response to Washington’s own measures. Ottawa will keep its levies on U.S. autos, steel and aluminum while talks continue on those strategic sectors. Carney’s decision follows a phone call with President Donald Trump and was welcomed by the White House as “long overdue.” Both governments say the move should pave the way for broader negotiations ahead of the USMCA’s scheduled 2026 review.