The American Lighting Association’s (ALA’s) Government Affairs team recently put out an update covering the US-Canada tariff fight escalation and a recent Oregon extended producer responsibility (EPR) court decision.
US-Canada Tariff Fight Escalation
The US/Canada trade situation has taken another turn, with the U.S. imposing additional 50% tariffs on specified Canadian-origin products under Section 338, effective August 22, 2026. The action covers hundreds of tariff classifications and follows the breakdown of recent trade negotiations.
For the lighting and ceiling fan industries, companies should look beyond finished products and review their entire Canadian supply chain. The new duties apply based on the HTS classification and country of origin of the imported product. This means that components, parts and subassemblies sourced from Canada may need to be reviewed separately from the finished lighting fixture or ceiling fan.
Areas worth reviewing include motors, electrical components, drivers, controls, metal components, housings, assemblies and other parts sourced from Canadian suppliers. Companies should also confirm whether products assembled in Canada contain components from other countries and whether the applicable rules of origin result in Canadian origin for U.S. customs purposes.
At the same time, Canada is preparing its response. Effective September 8, 2026, Canada will impose 15%, 25% and 50% counter-tariffs on approximately C$27.6 billion of U.S. imports, with the affected products drawn from goods targeted by U.S. Section 338 and Section 232 measures.
Oregon EPR Court Decision
A recent Oregon federal court decision upheld the state’s packaging Extended Producer Responsibility (EPR) law against a constitutional challenge brought by the National Association of Wholesaler-Distributors (NAW) in which ALA filed an Amicus Brief. The August 27, 2026 decision allows Oregon’s EPR framework to remain in effect while industries consider next steps.
Oregon’s program shifts some of the cost and responsibility for managing covered packaging from local governments to producers, with Circular Action Alliance (CAA) serving as the state’s approved Producer Responsibility Organization (PRO). A key issue in the case was whether Oregon could impose EPR-related obligations on businesses operating across interstate supply chains. The court rejected NAW’s arguments that the law unconstitutionally burdens interstate commerce or improperly delegates government authority to a private organization.
Packaging such as corrugated cartons, plastic bags, protective materials, labels and other packaging components all fall within Oregon’s EPR requirements. Responsibility can depend on the company’s role in the supply chain, including whether it is the brand owner, manufacturer, importer or, in some circumstances, the first distributor into Oregon.
Lighting industry businesses should review their Oregon sales and supply chains, determine who is responsible for covered packaging, and ensure they have accurate packaging data by material type. Companies selling across multiple states should also be planning for the growing patchwork of EPR requirements in states such as California, Colorado and Minnesota.
ALA is considering legal action in the challenge against California’s EPR laws which go into effect in January of 2027.
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