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50% US tariffs on Canadian goods face union pushback before Aug. 19

Traverse Staffing newsroom · Jul 31, 2026 · updated Oct 19, 2026 · via Canadian Manufacturing

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What happened

The presidents of the United Steelworkers and the International Association of Machinists and Aerospace Workers have written to U.S. Trade Representative Jamieson Greer, asking him to reconsider a new round of 50 per cent tariffs on Canadian goods, as reported by Canadian Manufacturing. The tariffs are set to take effect on Aug. 19.

Unlike most earlier U.S. tariffs, these would carry no exemption for goods that comply with the Canada-U.S.-Mexico Agreement. The two unions together represent about 1.45 million workers. They say they have backed several of the administration's trade actions, but that trade must not widen the gap between the two countries. They call for renewed negotiations.

The Trump administration describes the measure as a response to provincial bans on U.S. liquor, Canada's supply-managed dairy system and quotas on certain U.S. vehicles. Prime Minister Mark Carney and his ministers have spoken against it. Trade Minister Dominic LeBlanc called the threat "not unexpected" and said Canada would keep engaging with Washington. The report does not say which specific goods are covered.

Why it matters if you are hiring

The date is close and the outcome is open. That makes workforce planning hard for Canadian plants that ship south, and for the suppliers behind them.

If you export to the U.S., you have two scenarios to plan for. If the tariffs take effect without a USMCA exemption, orders could slow, and you may want to hold permanent hires and lean on temporary or contract labour you can scale down. If talks produce a delay or a deal, demand could hold, and the plants that kept skilled people on the floor will be the ones that can fill orders.

The roles most exposed are production operators, maintenance technicians, machinists, and the planners, buyers and logistics coordinators who reroute freight and re-source inputs. Skilled trades are already hard to replace. Letting good people go in a scare is costly when the tariff is withdrawn a month later.

The unions' involvement also matters for unionized employers. Both organizations have members on both sides of the border, and their position signals that pressure on this decision is coming from inside the U.S. as well.

One thing to do this week

List your 10 most critical roles and your U.S.-bound revenue by customer. Then set a trigger for each role: what order drop would make you pause hiring, move to contract cover, or reduce hours. Decide it before Aug. 19, not after.

Traverse has placed operations and manufacturing people since 1997, from plant supervisors and planners to skilled production and maintenance staff, on both permanent and flexible contracts, so employers can scale capacity up or down as trade conditions change.

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