Canada Removes Seafood Tariffs to Protect Maine Lobster Industry

The Government of Canada removed seafood and fish products from its list of 25% retaliatory tariffs on U.S. goods on August 28, 2026, less than 36 hours after initially announcing them. The decision followed consultations with the food industry to prevent food inflation and broader economic harm. These counter-tariffs were originally introduced by Prime Minister Mark Carney in response to 50% tariffs imposed by the Trump administration on August 22 using a Great Depression-era trade law.

The removal specifically protects the Maine seafood industry, which exports nearly $300 million in products to Canada annually and relies on Canadian facilities to process nearly half of its fall lobster catch. While Senator Angus King noted the industry dodged a bullet, he warned that U.S. tariffs on steel and aluminum would still increase costs for lobster trap production. Senator Susan Collins urged the Trump administration to return to negotiations, stating that the two nations' economies are inextricably linked.

Canada's remaining retaliatory measures, set for September 8, include 50% tariffs on U.S. steel, aluminum, milk, and cream, and 25% tariffs on U.S. cheese and curd. In response to the trade volatility, Loblaw Companies Limited announced it will reinstate 'T' labels to identify tariff-impacted products and use maple leaf logos to highlight Canadian-made goods.