Canada: Canadian duty-free shop turns to homegrown products amid US tariffs.
Sep 16, 2026
New U.S. tariffs on roughly 100 categories of Canadian goods has taken effect, and for one duty-free shop on the United States-Canada border, the impact has been immediate and painful. A new round of U.S. tariffs on some Canadian goods officially took effect on Tuesday, leaving around 100 categories of Canadian products, including cheese, furniture, and aluminum alloy, subject to a 50 percent tariff. The Peace Arch Duty Free Shop, located near the Peace Arch Border Crossing between British Columbia and Washington State, sits at one of the busiest passenger crossings between the two countries, handling up to 9 million two-way trips annually. For decades, the shop thrived on that steady flow of cross-border traffic. But recent U.S. tariff policies have caused passenger numbers to plummet, dealing a heavy blow to business. According to Raju, as more Canadian consumers boycott American goods, retailers across Canada have begun emphasizing product origins and seeking suppliers beyond the United States. The duty-free shop has adjusted its strategy accordingly, pivoting toward Canadian-made products to offset the loss of American customers. Raju said the U.S. tariffs and trade bans have served as a wake-up call, making Canadians realize how overly reliant they had become on American products. Shotlist: British Columbia, Canada - Sept 14, 2026: 1. Various of Peace Arch on Canada-U.S. border; 2. Various of vehicles at border crossing; 3. Sign saying "Exit to the United States of America"; 4. Traffic; 5. Sign saying "Canada," national flags of Canada; 6. Various of duty-free shop, signs; 7. Goods for sale; 8. SOUNDBITE (English) Peter Raju, owner, Peace Arch Duty Free Shop (starting with shot 7): "We laid off almost close to 75 percent of staff. As you can see right now, we have minimal staff during the morning because it's not busy."; 9. Various of liquor, food for sale; Raju introducing product to reporter; 10. SOUNDBITE (English) Peter Raju, owner, Peace Arch Duty Free Shop (ending with shot 11): "We have seen a huge percentage increase on buying Canadian products in our store and we've put a lot of confectionery items, a lot of clothing items and a lot of souvenirs, and an example is this maple cookies that are made in Canada."; 11. Maple cream cookies for sale; 12. Various of consumers; 13. SOUNDBITE (English) Peter Raju, owner, Peace Arch Duty Free Shop (partially overlaid with shot 14): "And since the tariff has come, we have a lot of international customers and we have to ride it together. So, we have to stay, even if we are losing money. We have to support our government in this matter which, as we feel, it's unjustified." [SHOT OVERLAYING SOUNDBITE]; 14. Goods for sale [SHOT OVERLAYING SOUNDBITE]; 15. Raju talking with reporter; 16. Various of goods for sale. [Restrictions: No access Chinese mainland]
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