Toronto residents on edge as Canada's counter-tariffs loom: 'How are we supposed to live?'

He’s already scaled back his costs to essentials such as groceries and rent. Now, with the threat of rising expenses, he’s feeling “stretched thin.”

Ottawa announced Tuesday they’re placing counter-tariffs of up to 50 per cent on more than 700 American products and $27.6 billion in U.S. imports starting Sept. 8. The levies are being slapped on a wide-range of products, including dairy, fish and seafood, beauty and hair care items, book binders and smartphones.

For Torontonians like Shah, who have been living through a cost-of-living crisis for the last few years, the news brought on a bout of anxiety, uncertainty and more questions on how much more expensive life could get. One of Shah’s biggest concerns is balancing his $1,200 rent, which took up half his paycheque when he had a job, and other expenses, such as groceries.

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“How are we supposed to live and survive?” asked Shah. “It’s better to have a roof over your head than eating for a day.”

Beulah Craig, who has lived in Flemingdon Park for nearly 20 years, said she wasn’t feeling “comfortable” with the escalating tensions between Canada and the U.S. and how trade negotiations were being handled.

Over the last few days, tense words have been exchanged between Prime Minister Mark Carney, U.S. President Donald Trump and Ontario Premier Doug Ford.

As a retired daycare worker, Craig said she was worried about the stress of “making ends meet” when tariffs from both sides come into effect. She visits a local food bank once a week to help with grocery costs.

“We don’t really want to go through this war,” she said. “We’re trying to be good neighbours.”

Shah and Craig are not alone.

One in five Canadians said they were frustrated or angry after struggling through 18 months of the tariff war and ongoing negotiations, according to new data from the non-profit Angus Reid Institute released Tuesday.

Toronto’s low-income communities have been struggling with grocery costs even before the tariff war due to the cost-of-living crisis and inflation, said Leila Sarangi, a senior director at Family Service Toronto, a social service agency.

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“Every dollar, every dime is already accounted for in a family budget and there is no room for a 25 per cent increase on a bag of milk,” she said. “The threat of tariffs has increased family anxieties, particularly for people who are working in the industries directly affected.”

While the Carney government announced $7.5 billion in aid for workers and businesses affected by the trade war, small business advocates say it missed the mark, with at least half of business owners being ineligible.

And the threat of American tariffs, which targeted $28 billion of Canadian product, has spurred Loblaws to bring back its country-of-origin signs to identify Canadian products and encourage supporting Canadian businesses.

“I don’t think that essential, basic items for families should be on the table,” said Sarangi. This includes technology, such as phones and laptops for students, she said. Other items that tariff experts and economists say could carry a steeper price tag include shampoo and conditioner, video game consoles and washing machines. 

David Soberman, a marketing professor at the U of T’s Rotman School of Management, said consumers need to be vigilant over long-term increases, such as possible tax hikes, to cope with the impact of the tariffs.

He also said people need to avoid “locking themselves” into expensive monthly payments, such as buying a new car, during this unstable period.

“People have to be more careful with the expenditures that they make and make sure they buy their necessities,” said Soberman. But, he also believes that negotiations could start up soon, which could alleviate people’s anxieties

“There’s some time for cooler heads to prevail and for negotiations to take place.”