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The trade relationship between the United States (“US”) and Canada is facing renewed tensions as President Trump has indicated the US will impose a blanket 25 percent tariff on all Canadian goods on or soon after his inauguration on January 20, 2025.

In response, Canadian government officials have signaled Canada will respond with retaliatory tariffs and other possible countermeasures such as export taxes.  Consequently, it is important to understand how retaliatory import tariffs and export taxes have worked in the past, and how they might work in the future.

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