Trump orders new 50% tariff on many Canadian goods, escalating trade war
Ottawa says new duties violate USMCA as Trump uses untested 1930 law to hit Canadian imports
US President Donald Trump signed orders on Monday to impose new 50 per cent tariffs on many Canadian goods, claiming “discriminatory treatment” by Ottawa against American alcohol, automobile and dairy products.
The tariffs take effect in 30 days and cover various items including wine, hockey sticks and cement, said the White House.
Trump, who saw many of his tariffs struck down by the Supreme Court this year, tapped an untested legal provision for the new duties – Section 338 of the Tariff Act of 1930.
The latest duties would not apply to energy, potash and goods already impacted by sector-specific tariffs.
Crucially, however, they would hit products covered under the US-Mexico-Canada free trade agreement (USMCA).
Canadian Prime Minister Mark Carney said in response that Ottawa stood ready to “intensify” talks with the United States, and has made proposals to resolve disputes and modernise the USMCA.