Karandeep-Canada: U.S. President Donald Trump has warned that the United States could impose tariffs as high as 100 per cent on Canadian exports if Canada moves forward with what he described as a trade arrangement with China. The comments mark a sharp escalation in rhetoric and come during a period of growing strain in Canada–U.S. relations.
In a series of posts on social media, Trump did not provide detailed clarification on what specific agreement would trigger such tariffs. However, his remarks followed recent announcements that Canada and China had resolved several tariff-related issues, including reduced duties on Canadian canola exports and adjusted import conditions for a limited number of Chinese electric vehicles entering the Canadian market.
Trump argued that any closer economic alignment between Canada and China could allow Chinese goods indirect access to the U.S. market. In his posts, he strongly criticized the idea, warning of economic and social consequences for Canada if such cooperation were to deepen. He later reiterated that the United States would not allow China to gain strategic influence over Canada.
Canada rejects free-trade characterization
Canada’s Minister responsible for Canada–U.S. trade, Dominic LeBlanc, responded by stating that Canada is not pursuing a free-trade agreement with China. According to LeBlanc, the discussions with Beijing focused on resolving specific tariff disputes rather than establishing a broader trade pact.
He emphasized that Canada remains committed to its long-standing economic and security partnership with the United States and said the government will continue working to ensure that cross-border trade benefits workers and businesses in both countries.
Shift in tone from Washington
Trump’s latest remarks contrast with comments he made earlier, when he appeared unconcerned about Canada’s engagement with China and publicly stated that countries should pursue trade deals that benefit their own economies. The shift has raised questions among analysts about the future direction of U.S. trade policy toward close allies.
The tariff threat also follows remarks made by Canadian Prime Minister Mark Carney during a recent speech at the World Economic Forum in Davos, where he spoke about changes in the global economic order and cautioned against the use of economic tools as instruments of political pressure.
In a separate address, Trump responded critically to those comments, underscoring the degree of tension that has emerged between the two leaders in recent days.
Domestic reaction in Canada
Canadian federal ministers and provincial leaders have publicly defended the prime minister’s approach. Justice Minister Sean Fraser rejected Trump’s characterization of Carney, stressing Canada’s sovereignty and economic standing as a G7 nation.
Culture and Identity Minister Marc Miller described the U.S. president’s comments as serious but said Canada must focus on decisions within its own control. Several provincial premiers also voiced support for Carney, emphasizing the importance of protecting Canadian economic interests while maintaining stable international partnerships.
What happens next
As of now, no formal tariff action has been announced by the U.S. administration. Trade experts note that such measures would have significant consequences for both economies, given the deeply integrated nature of Canada–U.S. supply chains.
Canadian officials have indicated they will continue diplomatic engagement with Washington while defending Canada’s right to pursue diversified trade relationships. Markets and industry groups are closely watching for further developments.