Trump plans a 50% tariff on Canadian cars, trucks, and steel, escalating trade tensions after Canada's retaliation against U.S. duties.
President Donald Trump said Monday that he plans to impose a 50% tariff on cars, trucks, auto parts, and steel imported from Canada, escalating trade tensions between the two countries after Ottawa moved to retaliate against U.S. duties announced over the weekend.
Trump announced the new levies in a social media post, stating they would take effect on Jan. 1. He accused Canada of 'ripping off' the United States, though the White House had not released a formal tariff order as of Monday beyond the president's post.
The announcement marks the latest step in a rapidly intensifying trade dispute between the United States and Canada. Questions remain about how the proposed tariffs would interact with existing Section 232 duties on imported automobiles and auto parts, as well as obligations under the United States-Mexico-Canada Agreement.
