Donald Trump has issued a warning to Canada after he announced 35% tariffs on his northern neighbors.
The move, which the US president claims is aimed at forcing Canada to crack down on fentanyl smuggling, has triggered a fresh round of economic tensions between the two neighbors, per Sky News.
The tariffs, announced in a letter Trump uploaded to Truth Social, follow a series of aggressive measures against other nations, including a 50% tariff on Brazil, which could impact global coffee and orange juice supplies.
Trump has also hinted at broad 15-20% tariff hikes for “all of the remaining countries,” signaling his administration’s willingness to extend its protectionist approach.
In his letter to Canadian Prime Minister Mark Carney, Trump wrote: “It is a Great Honour for me to send you this letter in that it demonstrates the strength and commitment of our Trading Relationship, and the fact that the United States of America has agreed to continue working with Canada, despite Canada having financially retaliated against the United States.”
He continued: “As you will recall, the United States imposed Tariffs on Canada to deal with our Nation’s Fentanyl crisis, which is caused, in part, by Canada’s failure to stop the drugs from pouring into our Country. Instead of working with the United States, Canada retaliated with its own Tariffs.”
Trump made clear the tariffs will be enforced rigorously, adding: “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.”
He further warned that “goods transshipped to evade this higher Tariff will be subject to that higher Tariff” and that any retaliatory move by Canada would trigger further increases.
Trump also offered an alternative for Canadian firms, writing that companies which “build or manufacture product within the United States” would avoid the tariffs and that approvals would be handled “quickly, professionally, and routinely — in other words, in a matter of weeks.”
The US president closed his letter by leaving the door open for negotiations, stating: “If Canada works with me to stop the flow of Fentanyl, we will, perhaps, consider an adjustment to this letter.
“These Tariffs may be modified, upward or downward, depending on our relationship with your Country. You will never be disappointed with The United States of America. Thank you for your attention to this matter!”
Prime Minister Mark Carney responded on social media, emphasizing Canada’s commitment to defending its economy while addressing the fentanyl crisis.
“Throughout the current trade negotiations with the United States, the Canadian government has steadfastly defended our workers and businesses. We will continue to do so as we work towards the revised deadline of August 1,” he stated.
Carney added: “Canada has made vital progress to stop the scourge of fentanyl in North America. We are building Canada strong. The federal government, provinces and territories are making significant progress in building one Canadian economy.
“We are poised to build a series of major new projects in the national interest. We are strengthening our trading partnerships throughout the world.”
Meanwhile, Trump hinted at further announcements on global issues, telling reporters: “I think I’ll have a major statement to make on Russia on Monday,” adding: “I’m disappointed in Russia, but we’ll see what happens over the next couple of weeks.”