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Montreal Manufacturer Explores a Move to the U.S. as Tariff War Escalates

A recent survey found four in 10 Canadian manufacturers have either made the move or are considering it. Canada’s retaliatory tariffs were the tipping point for Aeris Protective Packaging Inc. Founder and president Michael Leiberman, a born-and-raised Montrealer, is opening a manufacturing plant south of the border to keep his business alive. The local company’s move highlights a growing exodus of Canadian manufacturers driven across the border by escalating trade crossfire and uncompetitive domestic business costs. As cross-border tariffs continue to hurt small and medium-sized businesses, industry experts warn that Canada’s economy is ill-equipped to sustain a prolonged trade war with its largest partner. Montreal manufacturer explores a move to the U.S. as tariff war escalates – Montreal Gazette

Canada Announces Counter-Tariffs Against the United States

Canada’s retaliatory tariffs against the United States’ tariffs on August 22 took effect at 12:01 a.m. today, covering approximately $27.6 billion of U.S.-origin goods at rates of 15%, 25%, or 50%. The measures apply only to goods originating in the United States; U.S. goods already in transit to Canada today are exempt. Among the electrical-related items (see the full listfor specific exclusions and details):

  • Copper wire:multiple refined-copper wire classifications carry a 50% tariff.
  • Aluminum wire:multiple aluminum and aluminum-alloy wire classifications carry a 50% tariff.
  • Aluminum stranded wire and cable that is not electrically insulated, including steel-core conductor, carries a 50% tariff.
  • Other insulated electric conductors rated at 1,000 V or lessunder tariff item 8544.49.00 carry a 25% tariff.
  • LED ceiling and wall luminaires, plus certain other LED luminaires, carry a 50% tariff.

Canada Announces Counter-Tariffs Against the United States – tEDmag

US Imposes Tariffs on $20 Billion of Canadian Products

The United States imposed 50% tariffs on $20 billion worth of Canadian products early Saturday, and Canada immediately said it would retaliate after last-ditch negotiations failed to resolve the latest strain in relations between the historic allies. President Donald Trump’s import taxes will hit about 5% of what Canada ships to the United States every year, including products ranging from hockey sticks to tongue depressors. Canada had sought concessions on tariffs on steel, aluminum, autos and lumber. The political impact will likely be even bigger than the economic fallout. The countries sold each other $880 billion worth of goods and services last year. US Imposes Tariffs on $20 Billion of Canadian Products | Newsmax.com

NEMA Urges Expansion of Aluminum Tariff Incentives

New tariff incentives that reduce aluminum tariffs from 50% to 25% for companies committing to investing in US aluminum production are designed to spur domestic investment. NEMA, which previously called for tariff incentives, supports the action and is calling for similar moves to expand the program to include electrical steel, spurring further investments in US smelting and manufacturing. NEMA Senior Director for Global Policy Patrick Lozada said there’s “an opportunity to expand on the approach that they’re taking with aluminum,” adding that relief for critical inputs would help manufacturers. New aluminum incentives draw industry praise, leave questions about impact  | InsideTrade.com

Why Higher Tariffs Are Becoming the New Normal for Business by John Keilman

Many business leaders are getting used to the idea of higher tariffs—and tariff fluctuations—as a new normal that will stick around even after Trump leaves office in January 2029. The highest effective rate—the amount of tariffs collected divided by the total value of imports—was 3% in Trump’s first term. During Trump’s second term, however, the effective rate topped out at close to 11% before dropping to around 7%. That has led some companies to make major changes to their supply chains that they are unlikely to reverse. Foreign automakers are among the companies most affected by tariffs, and some have responded by announcing plans to expand their U.S. manufacturing. Import duties generate between $20 billion and $30 billion for the U.S. Treasury every month, and that money could be hard for any president to forgo said John Iselin. Trump Tariffs Could Become Permanent as Revenue Hits $20 Billion-$30 billion a Month – WSJ

Trump Unveils New Tariffs Designed to Withstand Legal Scrutiny by Gavin Bade

New duties, ranging from 10% to 12.5%, will replace a temporary tariff put in place after the Supreme Court derailed Trump’s trade agenda in February Goods covered by separate national security tariffs like steel, aluminum, automobiles and parts, won’t be subject to the new tariffs, and certain food and agricultural imports, fertilizers and energy products will also be exempt. The new levies are based on a frequently used section of trade law—Section 301 of the Trade Act of 1974—that is considered more legally durable than the basis for the tariffs the Supreme Court struck down. Once in place, the levies can remain indefinitely and be unilaterally altered by the president. The immediate economic impacts of the tariffs are expected to be limited, as the new tariff rates are similar to the 10% global tariff that expires early Friday. Trump Unveils New Tariffs Designed to Withstand Legal Scrutiny – WSJ

Toyota, in $3.6 Billion Move, Shifting Tacoma Production to Texas from Mexico

Toyota said Monday it will shift most production of its midsize Tacoma pickup truck from Mexico to the United States as part of a $3.6 billion investment in its San Antonio, Texas, plant. The transition from Toyota’s Tijuana, Mexico, facility will take roughly four years, the Japanese auto giant said. The announcement comes just days after Washington declined to renew a North American trade pact with Mexico, as well as Canada, fueling uncertainty for businesses. Toyota said in November it planned to invest as much as $10 billion in the United States over the next five years. The world’s largest automaker by vehicle sales, Toyota plans to build a second assembly line at its San Antonio factory, creating more than 2,000 jobs and increasing annual production capacity at the plant by 150,000 units, the company said in a statement. Toyota, in $3.6 billion move, shifting Tacoma production to Texas from Mexico

NAED Washington Wire: Information and Updates on IEEPA Tariff Refunds

The Supreme Court’s February 2026 decision striking down broad IEEPA tariffs has triggered a complex refund process, now centered at the CIT and being implemented by the CBP. The main action items are straightforward. Importers should track liquidation dates, confirm ACH and ACE enrollment, preserve all entry and payment records, and review any contracts that may affect refund sharing. Wholesalers and distributors should check whether their pricing or surcharge provisions address tariff reimbursement. All parties should continue monitoring CBP’s rollout, the CIT’s next orders, and any appeal activity that could affect the scope or timing of refunds. For businesses, the key distinction is between legal entitlement and commercial recovery. Importers of record are positioned to receive refunds directly, provided they maintain proper documentation and system readiness. In contrast, wholesalers and distributors must rely on contract terms to determine whether they share in any recovered duties, making careful review of agreements essential. NAED – Washington Wire

Roberts Court Shuts Door on Tariffs But Leaves Room for Trump to Prevail

In a 6–3 opinion written by Chief Justice John Roberts, the court held that IEEPA does not grant the president authority to impose tariffs. The ruling struck down the tariffs at issue in the case. The U.S. Supreme Court may have struck down President Donald Trump’s tariffs, but the fight is far from finished. While the Court closed one legal door, it left several others wide open – and the president has already signaled that he intends to step through them. Importantly, however, the court did not hold that the president lacks tariff authority altogether. Rather, it concluded only that IEEPA is not a valid statutory foundation for such measures. The opinion left intact the president’s ability to rely on other trade statutes enacted by Congress. The message was unmistakable: the court’s ruling will not mark the end of the administration’s tariff strategy.  Roberts court shuts door on tariffs but leaves room for Trump to prevail | Just The News

Inflation Held Steady at 2.7% to End 2025

Consumer prices rose 2.7% in December, virtually unchanged from November and roughly in line with analysts’ expectations, per the latest reading from the Bureau of Labor Statistics. Inflation was helped by falling used car and truck prices, but rising grocery costs prevented the rate from making more progress toward the Fed’s 2% target. Food prices spiked 0.7% in December—the fastest monthly gain since 2022, the New York Times noted. Compared to the same period in 2024, food prices were up by 3.1%. Fed Chair Jerome Powell has previously said he expects the peak impact of tariffs to show up in Q1 of this year. Morning Brew

The Creator of Baby Ruth Actually Sued Babe Ruth –The Baby Ruth candy bar was created by the Curtiss Candy Company in 1920 — the same year that baseball legend Babe Ruth hit a then-record 54 home runs. But the Great Bambino was irked that the company was selling a candy bar with such a similar name to his own without offering him any royalties. Rather than take the Curtiss Candy Company to court, the Sultan of Swat decided to make his own candy bar, and in 1926 he debuted Ruth’s Home Run bar. The Curtiss Candy Company responded by turning the tables and taking Ruth to court. They accused the slugger of trying to steal their trademark and capitalize on the success of their brand. In a 1931 deposition, Curtiss founder Otto Schnering insisted the candy was named after “Baby Ruth” Cleveland — the daughter of President Grover Cleveland.  He also attested that the company came up with the name in 1919 before the baseball player had become a household name and that the name was merely coincidental. While the validity of those claims is disputed to this day, the court nonetheless ruled in favor of the candy company, forcing Ruth to end his foray into the world of candy.