Business & Finance

British Columbia premier urges Canada to target F-35 fighter jets and US coal in escalating trade war

The proposals emerge as a major trade dispute intensifies, with both nations enacting or scheduling multi-billion-dollar retaliatory tariffs.

Updated Aug 26, 2026 · 09:23 UTC2 reports

The short version

British Columbia Premier David Eby suggested Canada should cancel its planned $12 billion purchase of 88 American F-35 fighter jets from Lockheed Martin to protest US tariffs.
Eby also proposed levying export tariffs or taxes on American thermal coal shipped to the global market through British Columbia's Westshore terminal near Vancouver.
The recommendations follow the implementation of 50% US tariffs on $20 billion of Canadian imports, which took effect after bilateral trade talks broke down.
Canada has announced retaliatory tariffs on approximately $20 billion of US goods starting September 8, while US President Donald Trump has threatened further auto and steel tariffs starting January 1.

British Columbia Premier David Eby publicly urged Canadian Prime Minister Mark Carney to consider non-tariff countermeasures, including canceling the planned purchase of 88 F-35 fighter jets from Lockheed Martin.[Business Insider]
Canada's planned $12 billion F-35 procurement was already placed under review in March 2025.[Business Insider]
Eby also suggested placing additional export tariffs or taxes on American thermal coal transported through British Columbia to the Westshore terminal near Vancouver.[Business Insider]
Trade negotiations collapsed, resulting in 50% US tariffs on approximately $20 billion of Canadian imports taking effect on August 22.[Business Insider]
Canadian Finance Minister François-Philippe Champagne announced retaliatory tariffs on $27.6 billion Canadian dollars (about $20 billion) of US goods, including steel, dairy, and electronics, to start September 8.[Business Insider · Business Insider]
President Donald Trump stated that US tariffs on Canadian vehicles, auto parts, and steel will increase to 50% on January 1.[Business Insider]
Prior to the recent tariff hikes, Amazon had already begun shifting some Canadian direct-import sourcing from the US to China to avoid tariffs, according to internal company documents.[Business Insider]

It is not yet known whether the Canadian federal government will adopt Eby's proposals regarding the F-35 purchase or coal exports.[Business Insider]
Amazon's internal forecasts projecting a 40% increase in Canadian package volume between 2026 and 2029 are preliminary and subject to change based on the evolving trade environment.[Business Insider]