Trump slaps additional 50% tariff on certain Canadian goods

The Trump administration announced Monday that it will impose an additional 50% tariffs on Canada on certain goods imported into the United States, citing Canada’s response to Trump’s tariffs in 2025.

On a call with reporters this afternoon to announce the tariffs, a senior administration official said the measure is intended to “hold accountable” Canada for its “significant retaliation against the United States as the United States imposes trade measures to remanufacture, remanufacture, and support manufacturing.”

“For example, one of the things that has happened is that all but two Canadian provinces and territories have halted the purchase, distribution or retail sale of U.S. alcoholic beverages, but have not imposed similar restrictions on other countries,” the senior administration official said.

The senior administration official also pointed to Canadian tariffs on some U.S. vehicles and tariffs and trade quotas related to dairy products.

The list of goods covered by the new duties is very broad, from dairy products, alcohol and alcohol-related products to some food products.

The tariffs also cover building materials, clothing, furniture, technology and auto parts.

Today, the president signed three proclamations under Section 338 of the Tariff Act of 1930, which impose “an additional 50% tariff on certain Canadian goods in response to these discriminatory actions,” a senior administration official said.

“By doing so, President Trump is clearing the way for important American exports: automobiles, alcohol, and dairy products,” the senior administration official said.

The tariffs will take effect 30 days from now.

“Each Section 338 declaration imposes a 50 per cent tariff on a different set of Canadian imports, including products ranging from wine to hockey sticks to cement,” the senior administration official said.

The official noted that the tariffs apply even to goods covered by the United States-Mexico-Canada Agreement (USMCA). There are some goods that are exempt, according to the American official, and they include: “energy and potash products subject to customs duties under Article 232, and some other goods such as fish or vital minerals.”

“So, we’re trying to again be very tailored to the size of the trade and the damage that impacts that is impacting U.S. trade under these discriminatory rules,” the senior administration official said when asked about what goods are covered.

A 50% tariff is very high duties on Canadian goods — and the senior administration official noted it was the highest the president could impose under Section 338.

When asked about the current status of trade talks between the United States and Canada, the US official said that while the teams are having “substantive discussions,” there are currently no formal negotiations.

“We have certainly exchanged ideas with them regarding Canadian trade barriers or practices that the United States would like to see remedied,” the senior administration official said. “They have exchanged ideas with us about the future of the trade relationship and how to enhance economic security in North America. So we have certainly had discussions, including substantive discussions. However, we are not in a formal negotiation phase at this point.”

These are not the tariffs that Trump called for in a social media post on Friday, criticizing America’s North neighbors over the smoke blanketing American cities, coming from Canadian wildfires.

The senior administration official said that the president “has asked for options on this, and the options are being exchanged with him.”

This is a developing story. Please check back for updates.