US revises Canada tariff list, easing 50% duty on some paper and plywood

A US presidential proclamation signed on 23 October 2026 removes certain Canadian plywood sheets, plastic packing boxes and bags, corrugated paper cartons and some packing machinery from the additional 50% Section 338 tariff, for goods entered from 12:01 a.m. Eastern time on 30 October. The same order adds other Canadian products, including sweetened cocoa powder, certain carpets and valves, while the broader 50% measure on Canadian goods stays in place.

Why this mattersUS converters and distributors sourcing specific Canadian paper, plywood and plastic packaging lines gain tariff relief, though other duties and the wider measure still apply.

• Proclamation signed 23 October 2026, effective for goods entered from 12:01 a.m. Eastern time on 30 October 2026
• Removed items include thin plywood sheets, plastic packing boxes and bags, corrugated paper cartons and some other paper products
• Removed items also include listed agricultural sorting equipment and certain packing or wrapping machinery
• Products removed lose the additional 50% duty under Section 338 of the Tariff Act of 1930, but other tariffs including Section 232 duties can still apply
• Items added to the tariff list include sweetened cocoa powder, certain carpets, valves and waste products
• Section 338 duties apply even to goods qualifying as originating under the USMCA, according to the White House

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