Trump imposes 50% tariff on select imports from Canada
What's the story
US President Donald Trump has announced a massive 50% tariff on a wide range of goods imported from Canada. The decision comes as retaliation for what he termed as "unequal treatment" of American cars, dairy products, and alcohol. The new tariffs will cover everything from everyday consumer items like wine and hockey sticks to industrial goods such as cement.
Exemption
Some key Canadian exports exempted from tariffs
Notably, some key Canadian exports such as energy, potash, critical minerals, and fish have been exempted from the new tariffs.
The White House announced that the duties will be imposed in 30 days.
This marks a major escalation in trade tensions between the US and Canada, which have been simmering since Trump's return to office in January 2025.
Trade negotiations
Canada ready to 'intensify' trade talks with US
In response to the new tariffs, Canadian Prime Minister Mark Carney said Canada is ready to "intensify" trade talks with the US in the coming weeks.
The White House's fact sheet on the new tariffs stated they would be imposed regardless of whether or not the product was covered by an existing free trade agreement between Canada, the US and Mexico (USMCA).
Tariff details
Existing trade barriers between US and Canada
The new tariffs come on top of existing trade barriers between the two countries.
The US has active tariffs of 15% to 50% on Canadian steel, aluminum, and copper. It also levies a 35% tariff on Canadian softwood lumber and a 25% tax on non-US parts in cars.
Meanwhile, Canada has its own 25% counter-tariff on select imports of American steel, aluminum, and vehicles.
Criticism
Officials criticize Trump's trade actions
Canadian officials have criticized Trump's unilateral trade actions.
"This is the latest in a series of unilateral US trade actions that began with the US imposing a series of tariffs in direct violation of the Canada-United States-Mexico Agreement," Carney said.
Ontario Premier Doug Ford also responded to the tariffs, saying if they go through, Canada should retaliate tit for tat.