New Trump tariffs will hit $122 million of N.B. exports, Holt says

**FREDERICTON** — Premier Susan Holt says new tariffs proposed by the United States would impact approximately $122 million of New Brunswick’s export economy if implemented.

While the figure represents less than one per cent of the province’s total exports, the premier warned that the measures could deliver a significant blow to individual small businesses, putting entrepreneurs and jobs at risk in sectors such as paper products, beer, plastics, and forestry.

U.S. President Donald Trump signed a series of executive orders imposing a 50 per cent tariff on roughly $20 billion worth of Canadian goods, set to take effect in 30 days amid free trade negotiations.

According to the U.S. Trade Representative’s office, the tariffs apply to about 5.2 per cent of the $382 billion in goods the U.S. imported from Canada in 2025. The targeted categories include dairy products, wine, whisky, natural honey, tulip bulbs, makeup, Christmas decorations, and plastic products. New Brunswick’s forestry and wood products industry also appears vulnerable, with items such as fibreboard, plywood sheets, furniture, doors, posts, railings, and facial or toilet tissue listed.

Holt stated that her government plans to engage directly with affected businesses before the deadline to understand specific impacts company by company.

“We can reassure entrepreneurs and workers that we’re going to be there to support them should this be the ultimate outcome,” Holt said in an interview with Brunswick News. She noted that provincial agencies, including Opportunities NB, have funds available to support impacted businesses, aligning with federal programs.

During a meeting of first ministers in Charlottetown, Prime Minister Mark Carney reasserted a federal commitment of $1 billion in tariff relief for impacted businesses, according to Holt.

External assessments of the tariffs vary across economists and researchers:

* Bryan Yu, chief economist at Central 1 Credit Union, estimates the tariffs will impact two per cent of New Brunswick’s exports. In a recent report, Yu noted that the duties will hit British Columbia, Quebec, and Ontario the hardest, impacting 13 per cent, 10 per cent, and nine per cent of their respective exports. He added that major commodities like energy, potash, and critical minerals were excluded from the target list.
* Andrew Hencic, a senior economist at TD Economics, stated in a note to investors that the targets appear chosen “where demand is going to be highly responsive to the new duties” to affect the Canadian economy with minimal impact on U.S. industries and consumers. He suggested businesses may accelerate shipments to the U.S. ahead of the August 19 deadline to front-run the tariffs.
* Trevor Tombe, an economics professor at the University of Calgary, used Canadian International Merchandise Trade data to estimate the impact on New Brunswick exports at 1.8 per cent. Tombe noted that the new 50 per cent tariff represents an approximate 75 per cent increase in total tariffs on U.S. imports from Canada.

Article and image source: tj.news