Using the bathroom or having a cry is about to get pricier for North Americans. The US and Canada have plunged into a full-blown trade war, threatening to wash away decades of peaceful commerce between the two neighbors. After negotiations collapsed last weekend, Canadian Prime Minister Mark Carney vowed to match US tariffs “dollar for dollar,” unveiling a list of nearly 900 American goods facing 25% to 50% tariffs starting September 8.
Paper products sit squarely in the crosshairs. Canada plans to slap tariffs of 25% to 50% on “toilet paper or face tissue stock” in retaliation for Washington’s 50% hike. Though American toilet paper and tissues are often made domestically, producers lean heavily on lumber-rich Canada for raw materials. Procter & Gamble, the maker of Charmin, warned last year that it would have to raise prices amid existing tariffs.
The numbers tell a stark story. The US imported $328 million worth of toilet paper from Canada in 2024, according to the World Bank, making Canada the largest exporter of the product to the US. Retailers like Costco stock their shelves with Canadian paper goods. Meanwhile, the US accounts for more than 20% of global tissue consumption despite having just 4% of the planet’s population. The average American tears through 141 rolls a year, ranking No 1 for No 2s worldwide, just ahead of Germans at 134 rolls.
But the fallout goes far beyond the bathroom. US tariffs are hitting Canadian liquor hard, including Crown Royal and Canadian Club whiskey, now under a 50% duty. Canada hasn’t formally targeted American booze, but most provinces have banned US alcohol in retaliation for earlier levies. Donald Trump has used those provincial bans as part of his legal justification for the new tariffs.
Carney has asked provincial leaders to consider putting American liquor back on shelves. Yet as Nova Scotia Premier Tim Houston told CBC News: “Whether Nova Scotians or Canadians will actually buy it when it’s back on the shelves, that’s a whole other discussion.” Trump also says his tariffs answer Canada’s restrictions on American dairy. He slapped a 50% duty on nearly all Canadian dairy imports, with cheese spared. Canada responded with 50% on American dairy and 25% on US cheese.
Canada took aim at US fisheries too, imposing 25% tariffs on American fish and seafood, including frozen lobster. The move drew a sharp rebuke from Republican Senator Susan Collins, fighting for re-election in lobster-heavy Maine. She called Trump’s latest move “a mistake.” Meanwhile, a 25% tariff on Canadian cars and auto parts threatens to disrupt the deeply integrated auto industry. Trump has threatened to double that to 50% if no deal emerges by January 1, 2027.
With negotiations down the drain, it’s unclear when or if the tariffs will lift. Still, the Trump administration insists consumers won’t feel the pinch. Jamieson Greer, the US trade representative, said: “The fundamentals are good. I don’t think this is going to affect anything.”
