Canada will match US exemptions to punishing tariffs, Canadian official says

TORONTO (AP) — Canada is dropping retaliatory tariffs to match U.S. tariff exemptions for goods covered under the United States-Mexico-Canada trade pact, a government official familiar with the matter said Friday.

The official said Canada will include the carve-out that the U.S. has on Canadian goods under the 2020 free trade deal that shields the vast majority of goods from the punishing duties.

The official spoke on condition of anonymity because they were not authorized to speak publicly ahead of the expected announcement by Canadian Prime Minister Mark Carney.