President Trump plans to increase tariffs on Canada by 10%

Following a social media message issued by President Trump late last week, which said that the United States would halt trade talks with its second-largest trading partner, Canada, another social media post by Trump indicated that the U.S. plans to raise tariffs on Canada by 10%.

As previously reported by LM, a television commercial airing in Canada financed by the province of Ontario, including the late former President Ronald Reagan saying that “tariffs hurt every American.” And in his social media post late last week, President Trump stated that this commercial was released by the province of Ontario to interfere with the pending decision of the United States Supreme Court, and other courts, in regards to the legality of the White House’s usage and implementation of IEEPA tariffs.

“Tariffs are very important to the national security and economy of the U.S.A.,” the post said. “Based on their egregious behavior, all trade negotiations with Canada are hereby terminated.”

For calendar year 2024, the value of U.S. goods exported to Canada were roughly $349.9 billion, according to the Office of the United States Trade Representative (USTR), with U.S. goods imports from Canada around $411.9 billion, with total goods, comprised of imports and exports, around $761.8 billion.

Over the weekend, various media reports indicated that President Trump intends to up tariffs on Canadian-produced goods into the U.S. by another 10%, due to the aforementioned Canadian television commercial.  

“Their Advertisement was to be taken down, IMMEDIATELY, but they let it run last night during the World Series, knowing that it was a FRAUD,” Trump wrote.

An Associated Press report observed that it was unclear what legal authority President Trump would leverage to move forward with this additional 10% tariff on Canada, as well as when it would take effect, and if it would apply to all Canadian goods.

As previously reported by LM, in July, President Trump stated on a social media message he sent Canadian Prime Minister Mark Carney a letter stating that effective August 1, the U.S. would charge Canada a 35% tariff on products imported into the U.S. from Canada, separate from tariffs on specific sectors. Tariffs placed on Canada by the U.S. currently include: a 25% tariff on non-USMCA goods; a 10% tariff on energy resources and potash; a 50% tariff on steel and aluminum; and a 25% tariff on autos and auto parts.

In that letter to Carney, President Trump said that the U.S. initially imposed tariffs on Canada in an effort to combat the U.S. fentanyl crisis, with Canada subsequently replying in kind with tariffs on U.S. goods imported into Canada. On March 4, Canada implemented 25% tariffs on $30 billion worth of U.S. imports, including consumer and household goods, followed on March 12, with 25% tariffs on $29.8 billion worth of U.S. goods, including steel, aluminum, tools, computers, and other items.