Canada tariffs put loonie, supply chains in focus as trade war deepens By Investing.com

Investing.com -- Canada's C$27.6 billion retaliation against U.S. imports took effect on Tuesday, putting the Canadian dollar and North American supply chains under fresh pressure as investors assessed the risk that a widening trade war will drive up costs and disrupt cross-border commerce. The tariffs, covering more than 700 U.S. products, add a new layer of uncertainty for Canadian manufacturers and consumers while keeping the loonie vulnerable to shifting expectations for economic growth and interest rates. Copper's move: Read more (Sep 7, 2026) Oil market tension: Read more (Aug 29, 2026) Insights Read more (Aug 27, 2026) The last major U.S.-Canada trade war (steel/aluminum, 2018) caused sector-specific pain but not a global recession. This round is broader, with both sides targeting more products and higher tariff rates—raising the risk of lasting supply chain disruptions and input cost inflation. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.