The festival, which will take place at Silver Street, Brownhills will feature floating traders, trade stalls and charity stalls.
Last held in 2019, this year's festival will take place on Saturday September 18 and Sunday September 19 from 10am to 4pm each day.
LHCRT communications, events and membership director Christine Howles explained why the trust was organising the festival.
"We are bringing back the Brownhills Canal Festival after a few years' absence, with the last event hosted by Birmingham Canal Navigations Society in 2019.
"We were approached by Brownhills resident (and LHCRT member) Malcolm Littler, who asked if we could help arrange the festival.
"As Brownhills is at the top end of the Lichfield Canal it made sense for us to help out, promote Brownhills as a canal town, raise awareness of the link the Lichfield Canal will bring to the canal network and to Brownhills, and create a fun weekend for everyone.
"Traditionally held in the summer, we have chosen September for the event."
Full details can be found at the LHCRT website https://www.lhcrt.org.uk/brownhills-festival.html.
Admission is free.