Canada announced a slew of new taxes on U. S. goods Wednesday amid an escalating trade conflict with President Donald Trump.
Trump’s 25 % tariffs on Canadian and Mexican goods went into effect last week, causing significant stock market pain, though the president eventually exempted all United States-Mexico-Canada Agreement-compliant products, which include roughly 38 % and 50 % of imports from Canada and Mexico, respectively.
This round of barrier taxes, a response to the 25 % tariffs the Trump administration put into effect on steel and aluminum products overnight, follows previous tariffs Canada placed on U. S. liquor and other products.
The European Union has also announced new levies responding to Trump’s metal levies on U. S. goods totaling$ 28 billion, including British pork, motorcycles, liquor, and U. S. made steel and aluminum.
The White House did not issue an original reaction to Canada’s news. Earlier this year, Ontario Premier Doug Ford announced a 25 % tax on energy exports to state like New York and Michigan, prompting Trump to threaten to double the steel taxes applied to Canada.
Both sides later walked up those jobs, with Ford agreeing to meet with Commerce Secretary Howard Lutnick and U. S. Trade Representative Jamieson Greer in Washington, D. C., on Thursday.
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Trump plans to reveal his full slate of mutual taxes for U. S. buying partners on April 2. That record is expected to contain cars, medicine, lumber, metal, and more.
Nevertheless, Trump has suggested he may lose the flat 25 % tariffs on Canada and Mexico, and the 20 % tax he placed on all Chinese goods, if and when those three places make substantial progress toward disrupting the flow of morphine to the U. S.
