Washington, D.C.: US President Donald Trump has announced a new 35% tariff on goods imported from Canada, effective August 1, 2025, marking a significant escalation in ongoing trade tensions between the two neighboring countries.
The announcement was made through a letter addressed to Canadian Prime Minister Mark Carney, which Trump posted on his Truth Social platform. This latest move is part of a broader push by Trump to enforce what he calls “reciprocal” tariffs, a policy under which he claims the US will match or exceed tariffs imposed by its trading partners.
“Instead of working with the United States, Canada retaliated with its own Tariffs. Starting August 1, 2025, we will charge Canada a Tariff of 35% on Canadian products sent into the United States, separate from all Sectoral Tariffs,” Trump wrote.
In the letter, Trump further warned that any countermeasures by Canada would be met with proportional escalation.
“If for any reason you decide to raise your Tariffs, then, whatever the number you choose to raise them by, will be added onto the 35% that we charge,” he added.
Trump also criticized Canada’s dairy tariff regime, alleging that tariffs “reach as high as 400 per cent,” which he claims unfairly limit American farmers’ access to Canadian markets.
“The Trade Deficit is a major threat to our Economy and, indeed, our National Security,” Trump asserted.
He linked the trade imbalance and fentanyl crisis as part of broader threats posed to the US, citing them as key factors driving his protectionist approach.
This announcement follows a series of more than 20 similar letters sent by Trump to world leaders since Monday. Earlier this week, Trump extended the tariff deadline for several countries to August 1, allowing more time for negotiations. However, he simultaneously introduced new tariffs on countries including Japan and South Korea, and slapped a 50% tariff on copper imports.
With trade tensions climbing and retaliatory measures looming, global markets and bilateral relations between the US and its allies, including Canada, may face a period of deep uncertainty.