Trump’s Trade War with Canada Escalates Amid Rising Tensions
By Callum Jones
Tensions between the U.S. and Canada have reached new highs since President Trump returned to office in January. Last month, he imposed 25% tariffs on Canadian goods, including steel, aluminum, and vehicles under the USMCA, declaring them “permanent.”
In response, Canada retaliated with $20.7 billion in tariffs on U.S. imports. Prime Minister Mark Carney sent a firm message to Trump, saying, “We will win. We didn’t ask for this fight, but Canadians are always ready when someone drops the gloves.”
Carney, calling the old U.S.-Canada relationship “over,” criticized Trump’s approach and vowed to keep up the pressure until Canada receives proper respect.
Canada isn’t alone—China also raised tariffs in response to Trump’s recent trade actions.