Yesterday, the Government of Canada concluded its pre-budget consultations for Budget 2026. In the face of ongoing affordability pressures and recent U.S. tariff actions, Budget 2026 will outline the government's next steps to support Canadian workers and businesses, create the conditions for businesses to grow and invest, strengthen Canada’s competitiveness, and build a more resilient and prosperous economy.
Today, the Honourable François-Philippe Champagne, Minister of Finance and National Revenue, announced that the government is extending the temporary suspension of the federal fuel excise tax until January 31, 2027, and applying 50% of the regular excise tax rate from February 1 through March 31, 2027. This will bring down everyday costs for Canadians, including truckers and businesses in the food, agriculture, housing, construction, and delivery sectors.
The Honourable François-Philippe Champagne, Minister of Finance and National Revenue, today concluded a series of high-level meetings in Asheville, North Carolina, where he and Tiff Macklem, Governor of the Bank of Canada, represented Canada at the G20 Finance Ministers and Central Bank Governors meeting.
As the global landscape is marked by rapid changes and uncertainty for economies, businesses, and workers, Canada is focused on what we can control. We are building our strength at home, diversifying our trade partnerships, and building new relationships around the world.
The Government of Canada has negotiated intensively and in good faith with the United States (U.S.) toward a fair and comprehensive trade agreement that would protect Canadian workers and their families, strengthen the economy, provide greater certainty for businesses, and respect Canada’s sovereignty.
Following the U.S. decision to impose a 50 per cent tariff on $27.6 billion of Canadian goods effective August 22, Minister Champagne confirmed today that Canada will match the new U.S. tariffs dollar for dollar, rate for rate, with additional Canadian tariffs on U.S. goods.
The Government of Canada is moving forward with actions to protect Canadian industries and strengthen the economy amid a rapidly evolving global trade landscape. As economic security, industrial policy, and international competition continue to shape investment, trade, and financial decisions around the world, the federal government is moving with speed and ambition to build the strongest economy in the G7.
Today, the Honourable François-Philippe Champagne, Minister of Finance and National Revenue, announced that the federal government is providing $60 million loan to Arbec Bois d'œuvre Inc. through the Large Enterprise Tariff Loan facility. The funding will help the company maintain operations, transition to a business model less reliant on the United States, and limit disruption to its workforce.
Canada’s forest sector has been impacted by ongoing trade disputes, particularly between the U.S. and China, which has created weak market conditions for softwood lumber, pulp, and other forest products resulting in ongoing economic uncertainty for workers and their families.
Today, the Department of Finance is releasing for consultation, draft legislative proposals to implement a range of previously announced tax measures, as well as other technical amendments to Canada's tax system.
