By Promit Mukherjee

OTTAWA (Reuters) – Canada plans to impose tariffs on a slew of Chinese products from as early as next year, the government’s fiscal update showed, as part of its wider investigation into imports from the country.

Prime Minister Justin Trudeau’s government has already slapped a 100% tariff on all Chinese electric vehicles and a 25% tariff on imports of Chinese steel and aluminum products, with the finance ministry previously saying it was also exploring options to widen the duties.

The mid-year fiscal update presented on Monday showed that Ottawa has decided to apply tariffs to imports of certain solar products and critical minerals from China early in the new year, with levies on semiconductors, permanent magnets, and natural graphite following in 2026.

“These measures will prevent Chinese non-market trade practices from causing unfair and harmful market distortions in Canada and throughout the North American continent,” the update said.

Trudeau’s government has frequently criticized the Chinese government-funded policy of oversupply and over-capacity. He says Canada needs to protect local jobs from cheap Chinese products finding their way into the country.

The government has often used its stand against China as a lever to show U.S. President-elect Donald Trump that Canada is aligned with its biggest trading partner in its stand against Beijing.

Trump has vowed to impose 25% tariffs on goods from Canada on his first day in office on Jan. 20 if it fails to stop the flow of drugs and illegal immigrants across its border with the U.S.

The fiscal update, also called the Fall Economic Statement, did not detail the extent of the duties to be imposed, nor on which specific products, but said further details on the measures would be announced soon.

(Reporting by Promit Mukherjee, Editing by Kirsten Donovan)