US-Canada trade war further taxes small businesses as costs rise during the Iran war

By Mae Anderson
The Associated Press
September 15, 2026
Category: Business & Politics
Region: Canada, United States

NEW YORK — A trade war between the United States and Canada is making it more difficult and expensive for small businesses in the economically entwined countries to operate, according to business owners caught in the crossfire. …The tariffs so far involve about 5.5% of the neighboring nations’ bilateral trade in goods. Analysts say the overall economic impact therefore will be muted. But small business owners who depend on cross-border sales say a tax of up to 50% on their products and ill will created by the conflict have an outsize effect on them:

  • A Vermont cheesemaker sees a trade war with a close ally hurting business
  • A Vancouver Island company that serves craft distillers expects cost-prohibitive duties to put off U.S. clients
  • A Nashville producer of guitar amplifier devices detects a chilling effect on sales to Canadian musicians
  • A British Columbia beekeeper fears for the future of Canada’s honey industry

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