The U.S. Supreme Court’s striking down of a key method used by President Donald Trump to impose tariffs is not being seen as a clear win for Canadian business.
The ruling doesn’t affect the sector-specific tariffs imposed on metals, lumber and automobiles, while the broad 35 per cent duties against Canada don’t apply to goods compliant under the Canada-U.S.-Mexico trade agreement.
CIBC chief economist Avery Shenfeld says in a note that the ruling provides more immediate relief to Canada’s competitors that face tariffs on all of their U.S. exports.
But he says it does remove the threat that the 35 per cent tariffs could come into play if the U.S. opts to withdraw from CUSMA, which also boosts Canada’s negotiating position.
Dennis Darby, CEO of Canadian Manufacturers & Exporters, says that while the ruling is welcome, it doesn’t change the sectoral tariffs and uncertainty continues to weigh.
He says the best outcome would be a productive renewal of the CUSMA trade deal that puts an end to recurring trade disruptions.
This report by The Canadian Press was first published Feb. 20, 2026.
