Canada reacts to US trade tariffs with tit-for-tat action

A tit-for-tat trade war, which affects the import of rods, hooks, nets, lines and other items of fishing tackle, has broken out between neighbours the US and Canada.

The Canadian government has imposed 25% tariffs on $29.8 billion in products imported from the US in retaliation to a similar action by the Trump Administration. The American Sportfishing Association (ASA) says that while negotiations between the two countries continue and may lead to an easing of tariffs, the newly announced retaliatory sanctions are in effect.

Canada says that the new counter measures will remain in place until the US eliminates its tariffs against its steel and aluminium products.

To date, the actions most impactful to the sportfishing industry on American-imposed tariffs are concentrated on products from China, Canada and Mexico and effect the aluminium content of fishing reels, reel parts and landing nets.

“These, and other trade actions, are implemented through a variety of authorities and for a variety of reasons, including fentanyl trafficking, illegal immigration and to rectify trade imbalances,” said the ASA in a press release. “In many cases, whether and how these tariffs will be implemented remains up in the air.”

President Trump has also directed Administration officials to develop reciprocal tariffs and signed a presidential memorandum to direct the US Trade Representative and Secretary of Commerce to develop country-by-country reciprocal tariffs to ‘rebalance’ trade relationships by April 1.

The tariffs are likely to target countries with the largest trade deficit with the United States, including China, Canada, Mexico, Japan, Korea, Taiwan and EU countries.