Carney Says New US Forced Labour Tariffs Will Not Impact Majority of Canadian Trade

Prime Minister Mark Carney responded to Washington’s proposal to introduce 10 percent tariffs on countries that allow in goods produced by forced labour, saying most Canadian exports would remain exempt under the country’s trade agreement with the United States.

U.S. Trade Representative Jamieson Greer proposed the new tariffs on June 2, which would apply to dozens of countries that have allowed products made using forced labour into their supply chains. For Canada, the 10 percent tariffs would only apply to goods that don’t comply with the rules of origin in the Canada-U.S.-Mexico Agreement (CUSMA). Carney told reporters in Parliament that the new tariffs are “not a surprise,” as the United States has been planning to announce them for several months. Carney said with the continued CUSMA exemption, Canada would continue to “have the best trade deal of any of the U.S. trade counterparts.”