Canada braces for Trump's 50% tariffs on hockey sticks, honey, and dairy

Prime Minister Mark Carney said Canada is intensifying negotiations with the United States to avoid a 50 per cent tariff on a wide range of goods, but is prepared to respond if the levies take effect on August 19.

The tariffs announced by President Donald Trump on Monday would target honey, liquor, cement, dairy products, wood products, and hockey sticks — items previously protected under the 2020 trade agreement between Canada, the U.S., and Mexico. Energy products, potash, fish, and critical minerals are excluded.

Carney met with Canada's premiers and territorial leaders in Charlottetown, Prince Edward Island on Thursday to coordinate a unified response. "Everything's on the table" if an agreement can't be reached before the deadline, he said, adding that responding in advance "would be counterproductive at this stage."

Carney believes the tariff threat could be a negotiation tactic, noting that the U.S. typically uses outsized deadlines and levies during trade talks. "We've seen a series of trade negotiations that the U.S. has undertaken, and normally there's a deadline," he said.

An analysis by Desjardins found the tariffs would impact about $28 billion Canadian worth of annual Canadian exports to the U.S. — roughly 5 per cent of what the U.S. imports from Canada. Ontario, Quebec, and British Columbia would be hit hardest.

The tariffs have particular symbolic weight: Canada exports very few hockey sticks to the U.S., with Taggs Hockey in Guelph being a notable exception. The company sells about 1,000 sticks annually, with U.S. sales accounting for up to a fifth of its business. Owner Dan McTaggart said customers are already upset about potential price increases.