Trump says U.S. will hike Canada auto tariffs to 50% as trade dispute widens
The move follows collapsed talks and would hit about $20 billion in Canadian exports, while Ottawa plans dollar-for-dollar retaliation next month.
- On Monday, President Donald Trump threatened to impose 50 percent tariffs on Canadian cars, trucks, auto parts, and steel beginning January 1, 2027, escalating the trade war with the United States' northern neighbor.
- Prime Minister Mark Carney announced Saturday that negotiations with Washington had failed, stating the U.S. demanded concessions that would "permanently disadvantage" Canadian industries. This collapse followed a week of deteriorating cross-border relations.
- Alleging a $60 billion trade deficit, Trump accused Ottawa of "ripping off" the United States for years and described Canadian tariffs on American farmers as "ridiculously high" and unsustainable.
- Ottawa confirmed it will retaliate dollar-for-dollar beginning next month, while Ontario Premier Doug Ford backed Carney's decision to reject a "bad deal" and Premiers seek federal support for affected businesses.
- Trump claimed the U.S. "doesn't need Canada," noting that Canada conducts 95% of its business with the United States. He urged companies to "Build in the U.S." to avoid the new tariffs.
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In a post on Monday, US President Donald Trump threatened to raise tariffs on Canadian cars, trucks, auto parts, and steel to 50% starting January 1, 2027, in a new escalation of the trade dispute between the two countries.
The United States announced that it would impose a 50% tariff on Canadian automobiles, steel, and other products starting next January, citing the breakdown of trade negotiations. The Trump administration criticized Canada's anti-American stance and signaled a tough response, to which Canada is preparing to counter with retaliatory tariffs.
What smart people say about Trump's escalating trade war with Canada
The US and Canada broke off negotiations on a new trade deal. Trump is retaliating on Monday with fresh tariffs.Getty Images/Business InsiderTrump threatened a fresh batch of tariffs on Canada after talks fell apart on Friday.The new tariffs could impact cars, car parts, and steel. They're set to take effect on January 1.BI compiled what experts are saying about the new trade war.Big Canadian tariffs are making a comeback.In Truth Social posts o…
Donald Trump is similar to Grincheux by imposing tariffs on a variety of Canadian products, including Christmas decorations, according to Jean Charest.
WASHINGTON.– U.S. President Donald Trump announced this Monday that he will increase tariffs on a number of Canadian automotive products starting in 2027, at a time when historic trading partners scale up the terms of their tariff war. Currently, car tariffs are 25% if they do not include U.S. materials in their manufacture, while steel imports already generally have rates of 50%. “As of January 1, 2027, tariffs on all cars, trucks, large and sm…
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