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U.S. proposes 8.26% tariff on most fresh Canadian mushrooms

The United States is moving to impose new tariffs on fresh Canadian-grown mushrooms after a preliminary anti-dumping investigation, adding to trade pressures facing Canadian exporters.

The U.S. Department of Commerce issued a preliminary determination Tuesday proposing an 8.26 per cent anti-dumping duty on most fresh mushroom imports from Canada, according to industry group Mushrooms Canada.

Three Canadian producers face company-specific rates. Champ’s Fresh Farms Inc. is set to face an 8.71 per cent duty, Highline Produce Limited an 11.80 per cent duty and Farmers’ Fresh Mushrooms Inc. a two per cent duty.

The proposed tariffs follow separate 2.84 per cent countervailing duties imposed on Canada’s mushroom sector in May over allegations that Canadian producers benefited from unfair government subsidies. The Canadian industry has rejected those claims.

Mushrooms Canada CEO Ryan Koeslag disputed the findings of the anti-dumping investigation, arguing U.S. calculation rules can result in dumping determinations that do not reflect market conditions.

“A straightforward comparison of true average U.S. prices to true average Canadian prices would show no dumping at all,” Koeslag said.

The U.S. Commerce Department launched its investigation in January after a complaint from the U.S.-based Fresh Mushrooms Fair Trade Coalition, which had sought tariffs of up to 44 per cent on Canadian imports.

Koeslag said the preliminary rates show the original dumping allegations were “overstated” and pledged that the Canadian industry would continue challenging the case.

The mushroom duties are separate from U.S. President Donald Trump’s broader tariff measures. Canada is also facing U.S. sector-specific tariffs affecting industries including steel, aluminum, automobiles and cabinetry.

The anti-dumping case has not yet been finalized. Mushrooms Canada said it will continue participating in the U.S. investigation and argue that claims of unfair Canadian trade practices are unfounded.

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