Trump’s Bold Move Former President Donald Trump has once again shocked the trade world by announcing a 35% tariff on Canadian goods, set to take effect August 1. This move is a part of Trump’s renewed aggressive trade agenda as he eyes his political comeback.
Trump’s Bold Move
What Did Trump Say in His Letter?
In a letter addressed to Canadian Prime Minister Mark Carney (posted on Truth Social), Trump made it clear:
“If you raise your tariffs, we’ll add that number on top of the 35%.” This statement marks a significant escalation in trade tensions between the two nations.
Fentanyl and Other Complaints
Trump’s letter blames Canada not just for trade deficits, but also for allowing fentanyl into the U.S., despite data suggesting that nearly 99% of fentanyl comes through Mexico, not Canada.
He also criticized Canada’s dairy supply management system, a long-standing issue in U.S.-Canada trade relations.
Trump’s Bold Move
Tariff History and New Announcements
This is not Trump’s first move in the tariff war. In March, he had imposed 25% tariffs on Canadian products, which were later relaxed for those compliant with the USMCA deal.
Now, Trump is raising the stakes with:
- 35% tariff on Canadian goods
- 50% on copper
- 200% on pharmaceuticals
Canadian Officials React
Canadian officials, including Industry Minister Mélanie Joly, have vowed to fight back. Meanwhile, Global News reports that Canada and the U.S. are in critical talks over a broader economic and security deal, with a target date of July 21.
Why It Matters
Over half of Canada’s copper exports go to the U.S., and pharmaceutical exports are critical. The proposed tariffs could hurt both economies, push up prices, and increase political tensions—right before election season.
Final Word
With Trump threatening high tariffs again, U.S.-Canada trade relations face a new storm. Whether this is a political stunt or a serious shift remains to be seen—but the impact could be massive.