WASHINGTON — U.S. President Donald Trump imposed new 50% tariffs on a range of Canadian imports, targeting industries including automobiles, alcohol and dairy, in a move the administration said was aimed at addressing what it described as unfair Canadian trade practices.
The tariffs, announced on July 20, are scheduled to take effect on Aug. 19 and cover nearly $20 billion in Canadian goods, according to the Office of the U.S. Trade Representative. The measures were issued under Section 338 of the Tariff Act of 1930, a rarely used provision that allows the president to impose duties in response to discriminatory treatment of U.S. commerce.
The Trump administration said Canada had restricted U.S. exports in several sectors, including vehicles, alcoholic beverages and dairy products. U.S. Trade Representative Ambassador Greer said the action was intended to counter what the administration called Canada’s “retaliation and discrimination” against American businesses.
The White House said the tariffs would apply to covered Canadian products regardless of whether they qualify for preferential treatment under the U.S.-Mexico-Canada Agreement, while exempting certain categories including energy, potash, fish and critical minerals.
The administration specifically cited Canadian policies affecting U.S. vehicle exports, alcohol distribution and dairy market access as reasons for the new duties. In separate proclamations, the White House argued that Canadian measures created disadvantages for U.S. producers compared with suppliers from other countries.
Canadian officials criticized the move, saying the tariffs would undermine a long-standing trading relationship between the two countries. Prime Minister Mark Carney said Canada had responded to earlier U.S. trade actions while seeking negotiations to resolve disputes and modernize the bilateral trade framework.
The tariffs add pressure to already strained U.S.-Canada economic ties, with businesses in both countries facing uncertainty over supply chains and market access. Canada and the United States have one of the world’s largest trading relationships, with significant cross-border activity in manufacturing, agriculture and consumer goods.
The U.S. administration said the tariffs would remain in place unless Canada addresses the issues identified by Washington. The duties are set to begin after the 30-day implementation period, during which officials from both countries could continue discussions.
