Canada’s East Coast seafood industry is relieved as the federal government has excluded U.S. fish and seafood products from its list of counter-tariffed items. The government made this adjustment following feedback and in response to the new 50 per cent tariffs imposed by the U.S. on various goods after trade talks broke down. Initially, many seafood products were on the list, subject to a 25 per cent tax rate.
Industry leaders expressed concerns that the countermeasures could have severely impacted the seafood business, which had not been involved in the trade war until the recent announcement. The decision to remove the tariffs was welcomed by stakeholders, including Gilles Thériault from the New Brunswick Crab Processors Association and Nat Richard from the Lobster Processors Association, representing processors across the Maritimes.
The close integration of the industry across the U.S.-Canada border was highlighted, particularly in the processing of American-caught lobster in Canadian plants during the off-season. The tariffs would have made processing in Canada economically unviable, potentially leading to the early closure of numerous plants and affecting hundreds of jobs.
Apart from lobster, nearly all seafood items imported by Canada were on the retaliatory tariff list, raising concerns about the broader impact on the industry. There were fears that the tariffs could trigger further retaliatory actions from the U.S. side and harm the Canadian seafood sector.
Nova Scotia Premier Tim Houston, along with industry representatives, had raised concerns about the seafood tariffs with the federal government, and they were pleased with the decision to remove them. While some measures were rolled back, the government stated it would continue its dollar-for-dollar response to U.S. products. New items like copper wire and charcoal were added to maintain the impact, tariffed at 50 per cent starting September 8.
Finance Minister François-Philippe Champagne emphasized that the government’s decision was in Canada’s best interests, reflecting the feedback from Canadians. Despite queries about the message to the White House, Champagne reiterated that the update was the right course of action for Canada.