U.S. President Donald Trump has imposed a 50 per cent tariff on a wide range of goods imported from Canada, targeting consumer and industrial products while exempting several key exports.
According to the White House, the new tariffs will take effect in 30 days.
Products affected include items such as wine, hockey sticks and cement, while energy, potash, critical minerals and fish have been excluded from the latest measures.
President Trump said the decision was in response to what he described as Canada’s “unequal treatment” of U.S. automobiles, dairy products and alcoholic beverages.
The latest move adds to trade tensions between the two neighbouring countries, which have continued since President Trump returned to office in January 2025.
Canada was among the countries that responded to previous U.S. tariffs by introducing its own 25 per cent levy on approximately C$30 billion worth of American goods, although some of those measures were later withdrawn by Prime Minister Mark Carney.
In a statement posted on X, Prime Minister Carney said Canada was prepared to “intensify” trade negotiations with the United States in the coming weeks.
Carney also described the tariffs as part of a series of unilateral U.S. trade actions, stating that they began with measures he said violated the Canada-United States-Mexico Agreement (USMCA).
According to a White House fact sheet, the new tariffs will apply regardless of whether products are covered under the USMCA free trade agreement involving the United States, Canada and Mexico.
The latest tariffs add to existing U.S. duties on Canadian exports, including tariffs ranging from 15 to 50 per cent on steel, aluminium and copper, a 35 per cent tariff on Canadian softwood lumber and a 25 per cent duty on non-U.S. vehicle parts.
Canada also maintains 25 per cent counter-tariffs on selected imports of American steel, aluminium and vehicles.
President Trump’s executive action cited three key trade concerns involving Canada: taxes on certain U.S. vehicle imports, Canada’s dairy supply management system and restrictions on American alcoholic beverages.
The U.S. administration argues that Canada imposes taxes on some American-made vehicles and vehicle parts not covered under the USMCA, while Canada’s dairy import system applies tariffs of up to 300 per cent on imports exceeding established quotas.
The White House also raised concerns over the continued boycott of U.S. alcoholic beverages by most Canadian provinces.
Canadian officials have maintained that the restrictions on American alcohol would be lifted if the United States removed tariffs affecting key Canadian sectors, including metals and automobiles.
The announcement comes after President Trump also warned of possible tariffs linked to smoke from Canadian wildfires drifting into parts of the United States, although the White House did not cite the wildfires as a reason for the latest action.
Ontario Premier Doug Ford called for Canada to respond if the tariffs are implemented.
“If these tariffs proceed, Canada should respond tariff for tariff, dollar for dollar,” he wrote on X.
Earlier this year, the United States declined to renew the USMCA in its current form, indicating its intention to seek changes to the agreement.
The treaty remains in force but will be subject to annual reviews.
The latest tariffs were imposed under Section 338 of the U.S. Tariff Act of 1930, a provision relating to trade discrimination.
The move follows a ruling by the U.S. Supreme Court earlier this year that struck down several global tariffs imposed under emergency powers, prompting the White House to pursue alternative legal mechanisms for imposing import duties.
Trade officials and business groups on both sides of the border have called for continued negotiations before the new tariffs come into effect.
SOURCE: BBC