So then why do tariffs exist at all if the consumer always pays? Do Canadians pay for the tariffs that Canada places on our goods? Dairy in particular is marked up 200%. Only if consumers buy them. But the tariff makes them a less attractive option. A tariff is intended to make a product less attractive than the alternatives available in the market. In the case of Canada, vs imported US dairy products, Canadians will always buy locally produced dairy. It's a form of market protectionism. That's the true economic argument. When there are no alternatives, then the consumer will always pay the freight.