Customer Advisory
President Trump Pauses Section 338 Tariffs on Canada Products for 3 days
August 19, 2026
On August 18th, President Trump has announced that he would paused the planned 50% Section 338 tariffs on certain Canadian products for three days while the United States and Canada continue trade negotiations.
The tariffs were originally scheduled to take effect at 12:01 a.m. ET on August 19, 2026. The effective date has now been moved to 12:01 a.m. ET on August 22, 2026.
New Effective Date: August 22, 2026 at 12:01 a.m. ET
On July 20, the White House issued three separate proclamations under Section 338 of the Tariff Act of 1930, each imposing an additional 50% duty on specified Canadian imports. The three actions address Canadian trade measures involving:
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Dairy products
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Alcoholic beverages
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Motor vehicles and certain automotive products
The White House states that the measures are intended to offset what it considers discriminatory or unreasonable Canadian trade practices affecting U.S. commerce.
The original Section 338 actions cover a broader range of products within the applicable annexes. The White House fact sheet identifies products ranging from wine to hockey sticks, cement, dairy products and other Canadian goods.
Important: The Tariffs Have Been Delayed — Not Eliminated
The three-day pause does not cancel or reduce the 50% tariffs. It simply changes their effective date from August 19 to August 22 while negotiations continue.
The August 18 proclamation states that Canada has expressed a commitment to address the trade concerns at issue and that the current status of negotiations supports temporarily suspending the duties.