Washington, United States. President Donald Trump has announced 50% tariffs on a range of Canadian imports, citing what the U.S. administration described as discriminatory treatment of American-made cars, alcohol and dairy products. The measures, due to take effect in 30 days, open a new front in the trade dispute between the two countries.
Scope of the tariffs
Trump invoked Section 338 of the Tariff Act of 1930, which allows a president to impose punitive tariffs of up to 50% on trading partners found to have discriminated against U.S. goods. The move marked the law’s first known use in nearly a century.
The tariffs will cover products including wine, cement, ice hockey equipment, dairy goods, swimming pools, furniture, fishing rods, seeds, clothing and wigs.
The Office of the U.S. Trade Representative said the tariffs would apply to nearly $20 billion of imports from Canada, equivalent to about 5.2% of the $382 billion in goods imported by the United States from Canada in 2025, according to U.S. Census Bureau data.
U.S. and Canadian responses
U.S. Trade Representative Jamieson Greer said Canada had continued to retaliate against U.S. efforts to rebalance trade and protect domestic industries in sectors considered sensitive to national security.
“While the Administration continues to secure fair and reciprocal trade deals with our trading partners, Canada, unlike other partners and allies, continues to retaliate against the United States for its efforts to rebalance trade and protect U.S. industry in national-security sensitive sectors,” Greer said.
Canadian Prime Minister Mark Carney said his government had made comprehensive proposals to resolve the disputes with Washington and argued that previous Trump tariffs had violated the North American trade agreement.
“This trade dispute has raised costs for families, particularly in the U.S.,” Carney said. “Canada stands ready to engage intensively to address outstanding issues with the U.S. to the mutual benefit of our citizens.”
USMCA talks and wildfire dispute
The Trump administration has criticized Canada and China for imposing retaliatory measures in response to tariffs introduced since Trump returned to the White House last year.
Greer has excluded Canada from negotiations with Mexico over U.S.-sought changes to the U.S.-Mexico-Canada Agreement and is holding bilateral USMCA talks in Mexico City this week.
During a meeting with Carney at the FIFA World Cup Final in New Jersey on Sunday, Trump called on Canada to address wildfires that have sent smoke across parts of the United States. The U.S. president last week said he could add the “incalculable cost” of dealing with the pollution to existing tariffs on Canadian goods.
