Retaliatory Tariffs Padding Canada’s Finances as Expenses Rise

Cranes unload shipping containers onto trucks at the Port of Prince Rupert in Prince Rupert, British Columbia, on July 15.

Photographer: James MacDonald/Bloomberg

Canada’s retaliatory tariffs on US goods are partially offsetting weaker revenue from corporate and sales taxes as federal government expenditures continue to rise.

Revenue from customs import duties rose to C$2.4 billion ($1.8 billion) in April and May, according to data released Friday by Canada’s Department of Finance. That’s up from C$842 million in the same period a year earlier, capturing revenue from retaliatory tariffs that Prime Minister Mark Carney has levied on imports of some US goods.